The act allows authorities to take action against economic offenders who have fled Indian jurisdiction. It also provides for the attachment and confiscation of property of fugitive economic offenders and disqualifies them from defending any civil claim.

India’s Enforcement Directorate (ED) filed an application to have Naik declared an FEO on Sept 23.

According to the Hindustan Times, though, Naik maintains that he has not been booked for cheating or bank fraud.

“It is evident from the case of the prosecution that none of the alleged offences against the applicant [Naik] is related to non-repayment of bank loans or any offences relating to the banking channel,” his lawyers were quoted as saying in a response to the ED.

“On the contrary, it is pertinent to note that none of the offences for which the applicant [Naik] has been charged comes within the purview of the scheduled offences under the Prevention of Money Laundering Act.”

Naik, who holds permanent resident status in Malaysia, is wanted in India to face charges of money laundering.

The ED has also accused Naik of making “inflammatory speeches and lectures” which incited a number of Muslim youths in India to commit terrorist acts.

Naik has strongly denied the accusations.

Indian news portals say the National Investigative Agency and ED have filed a charge sheet against the preacher and have been trying to bring him back to India.

However, Putrajaya has so far resisted India’s request with Prime Minister Dr Mahathir Mohamad questioning the likelihood of Naik receiving a fair trial.