Vikamsey told newspersons here, last night that the power of the survey, search, seizure, retention of seized property and arrest should be with prior approval of higher authority and various other safeguards.

He pointed out that the major lacuna in the prevention of money laundering bill was that banks are excluded from the definition of the financial institutions and they would not be required to furnish high value transaction information to the commissioners of income tax, Vikamsey added. Vikamsey said that the provision of vesting of property in the central government free from all encumbrances is ultra vires in the constitution of India.

A person who is detained in judicial custody for days may not know the grounds for which he is detained.

The definition of proceeds of crimes and offence of money laundering does not have any monetary limit and is applicable even to small transactions. So also a person may unknowingly commit the offence of money laundering.

In foreign exchange management bill the definition of person resident in India would lead to hardships. If a person leaves for employment abroad he would have to repatriate his money earned abroad for a period of six months, Vikamsey added.