From ED to Economic Policy: Sanjay Kumar Mishra Joins PM’s Advisory Council

For someone who has spent years at the forefront of India’s battle against financial crimes, stepping into a purely advisory role might seem like an unusual transition. But for Sanjay Kumar Mishra, former chief of the Enforcement Directorate (ED), it’s a move that aligns seamlessly with his expertise in economic governance, taxation, and financial regulations.

Mishra, a 1984-batch Indian Revenue Service (IRS) officer from Uttar Pradesh, has been appointed as a full-time member of the Economic Advisory Council to the Prime Minister (EAC-PM). His induction into the council signals a strategic reinforcement of the government’s focus on financial intelligence and economic policy.

From Taxation to Enforcement: Mishra’s Storied Career

Born into a middle-class family in Lucknow, Mishra’s journey in public service began modestly. He started his career as an Assistant Director in the Income Tax Department in Gorakhpur, gradually ascending the ranks and building a deep understanding of India's economic and financial landscape. His expertise, especially in financial laws and taxation, eventually led to his appointment as the ED chief in 2018.

Mishra’s tenure at the ED was anything but uneventful. Under his leadership, the agency ramped up its crackdown on money laundering and financial crimes, conducting over 3,000 searches and registering nearly 4,000 cases. His time in office saw a heightened focus on high-profile economic offenders, including politicians and business magnates, making him one of the most influential—and controversial—bureaucrats in recent times.

The Enforcement Directorate Years: A Legacy of High-Profile Investigations

If one were to define Mishra’s time as the head of the ED in a single word, it would be ‘relentless.’ The agency, under his leadership, took on several political heavyweights, often finding itself at the center of heated political debates.

During his tenure, the ED questioned and investigated several top opposition leaders, including:

• Congress leaders Sonia Gandhi and Rahul Gandhi in the National Herald case.

• Former Finance Minister P. Chidambaram and his son Karti Chidambaram over alleged financial irregularities.

• Jharkhand CM Hemant Soren, Karnataka Deputy CM D.K. Shivakumar, and Delhi CM Arvind Kejriwal.

• NCP founder Sharad Pawar, former Maharashtra Home Minister Anil Deshmukh, and former Jammu & Kashmir CMs Farooq Abdullah, Omar Abdullah, and Mehbooba Mufti.

Mishra’s tenure also saw multiple leaders arrested, including Tamil Nadu Minister Senthil Balaji, West Bengal Minister Partha Chatterjee, and Delhi Minister Satyendar Jain. His aggressive approach led to allegations of political vendetta, with the opposition accusing the ED of being used as a political tool.

The Controversial Tenure Extensions

Originally appointed in 2018 for a two-year term, Mishra's tenure was extended multiple times by the government. However, this move did not sit well with the judiciary. In a landmark ruling in September 2023, the Supreme Court deemed his extensions illegal, forcing him to step down. By that time, he had become one of the longest-serving ED chiefs in history.

The controversy surrounding his term extensions intensified when, in November 2021, the government issued two ordinances amending the Delhi Special Police Establishment Act, 1946, and the Central Vigilance Commission Act, 2003. These changes allowed for an ED and CBI Director’s tenure to be extended up to five years, effectively keeping Mishra in power for longer than usual. The political ramifications of this move were widely debated, with opposition leaders accusing the government of tweaking laws to maintain control over investigative agencies.

A New Role at EAC-PM: What It Means

With his appointment to the Economic Advisory Council to the Prime Minister (EAC-PM), Mishra now transitions from enforcement to policy-making. The EAC-PM is an independent body responsible for providing economic advice to the Prime Minister. The council offers recommendations on macroeconomic stability, fiscal policy, economic growth, and financial sector reforms.

The current composition of EAC-PM includes:

• Suman Bery (Chairman)

• Sanjeev Sanyal (Member)

• Shamika Ravi (Member)

• Rakesh Mohan (Part-time Member)

• Sajjid Chinoy (Part-time Member)

• Neelkanth Mishra (Part-time Member)

• Nilesh Shah (Part-time Member)

• T.T. Ram Mohan (Part-time Member)

• Poonam Gupta (Part-time Member)

With his expertise in financial regulations and economic affairs, Mishra’s addition to the council is expected to bring sharper insights into financial governance, money laundering policies, and tax-related matters.

What Lies Ahead?

Mishra’s move to the EAC-PM is not just a career shift but also a reflection of the government’s evolving strategy in economic governance. His tenure at the ED established him as a tough, no-nonsense bureaucrat unafraid of taking on the high and mighty. Now, in an advisory capacity, he will wield influence not through investigations and enforcement but through policy recommendations and economic strategy.

For the opposition, his appointment may raise eyebrows, given his aggressive enforcement approach during his ED tenure. But for the government, his presence in the EAC-PM signals an intent to strengthen financial regulations and economic governance.

Whether Mishra’s transition from an enforcement czar to a policy expert will be smooth remains to be seen. But one thing is certain—his journey is far from over, and his role in shaping India’s financial landscape is set to continue.