Short title, extent and commencement
1. This Act may be called the Prevention of Money-laundering Act, 2002. 2. It extends to the whole of India. 3. It shall come into force on su...
1. In this Act, unless the context otherwise requires,- a. "Adjudicating Authority" means an Adjudicating Authority appointed under sub-section (1) ...
|Chapter II||Offence of Money-Laundering|
Offence of money-laundering
Whosoever directly or indirectly attempts to indulge or knowingly assists or knowingly is a party or is actually involved in any process or activity connected...
Punishment for money-laundering
Whoever commits the offence of money-laundering shall be punishable with rigorous imprisonment for a term which shall not be less than three years but which m...
|Chapter III||Attachment, Adjudication and Confiscation|
Attachment of property involved in money-laundering
1. Where the Director, or any other officer not below the rank of Deputy Director authorised by him for the purposes of this section, has reason to belie...
Adjudicating Authorities, composition, powers, etc.
1. The Central Government shall, by notification, appoint one or more Adjudicating Authorities to exercise jurisdiction, powers and authority conferred b...
Staff of Adjudicating Authorities
1. The Central Government shall provide each Adjudicating Authority with such officers and employees as that Government may think fit. 2. The offic...
1. On receipt of a complaint under sub-section (5) of section 5, or applications made under sub-section (4) of section 17 or under sub-section (10) of se...
Vesting of property in Central Government
Where an order of confiscation has been made under sub-section (6) of section 8 in respect of any property of a person, all the rights and title in such prope...
Management of properties confiscated under this Chapter
1. The Central Government may, by order published in the Official Gazette, appoint as many of its officers (not below the rank of a Joint Secretary to th...
Power regarding summons, production of documents and evidence, etc.
1. The Adjudicating Authority shall, for the purposes of this Act, have the same powers as are vested in a civil court under the Code of Civil Procedure,...
|Chapter IV||Obligations of Banking Companies, Financial Institutions and Intermediaries|
Banking companies, financial institutions and intermediaries to maintain records
1. Every banking company, financial institution and intermediary shall- a. maintain a record of all transactions, the nature and value of which may b...
Powers of Director to impose fine
1. The Director may, either of his own motion or on an application made by any authority, officer or person, call for records referred to in sub-section ...
No civil proceedings against banking companies, financial institutions, etc., in certain cases
Save as otherwise provided in section 13, the banking companies, financial institutions, intermediaries and their officers shall not be liable to any civil pr...
Procedure and manner of furnishing information by banking company, financial institution and intermediary
The Central Government may, in consultation with the Reserve Bank of India, prescribe the procedure and the manner of maintaining and furnishing information u...
|Chapter V||Summons, Searches and Seizures, Etc.|
Power of survey
1. Notwithstanding anything contained in any other provisions of this Act, where an authority, on the basis of material in his possession, has reason to ...
Search and seizure
1. Where the Director, on the basis of information in his possession, has reason to believe (the reason for such belief to be recorded in writing) that a...
Search of persons
1. If an authority, authorised in this behalf by the Central Government by general or special order, has reason to believe (the reason for such belief to...
Power to arrest
1. If the Director, Deputy Director, Assistant Director or any other officer authorised in this behalf by the Central Government by general or special o...
Retention of property
1. Where any property has been seized under section 17 or section 18, and the officer authorised by the Director in this behalf has, on the basis of mate...
Retention of records
1. Where any records have been seized, under section 17, or section 18, and the Investigating Officer or any other officer authorised by the Director in ...
Presumption as to records or property in certain cases
1. Where any records or property are or is found in the possession or control of any person in the course of a survey or a search, it shall be presumed t...
Presumption in inter-connected transactions
Where money-laundering involves two or more inter-connected transactions and one or more such transactions is or are proved to be involved in money-laundering...
Burden of proof
When a person is accused of having committed the offence under section 3, the burden of proving that proceeds of crime are untainted property shall be on the ...
|Chapter VI||Appellate Tribunal|
Establishment of Appellate Tribunal
The Central Government shall, by notification, establish an Appellate Tribunal to hear appeals against the orders of the Adjudicating Authority and the author...
Appeal to Appellate Tribunal
1. Save as otherwise provided in sub-section (3), the Director or any person aggrieved by an order made by the Adjudicating Authority under this Act, may...
Composition, etc., of Appellate Tribunal
1. The Appellate Tribunal shall consist of a Chairperson and two other Members. 2. Subject to the provisions of this Act,- a. the jurisdiction o...
Qualifications for appointment
1. A person shall not be qualified for appointment as Chairperson unless he is or has been a Judge of the Supreme Court or of a High Court. 2. A pe...
Term of office
The Chairperson and every other Member shall hold office as such for a term of five years from the date on which he enters upon his office: Provided that no C...
Conditions of service
The salary and allowances payable to and the other terms and conditions of service of the Chairperson and other Members shall be such as may be prescribed: Pr...
If, for reason other than temporary absence, any vacancy occurs in the office of the Chairperson or any other Member, then, the Central Government shall appoi...
Resignation and removal
1. The Chairperson or any other Member may, by notice in writing under his hand addressed to the Central Government, resign his office: Provided that the...
Member to act as Chairperson in certain circumstances
1. In the event of the occurrence of any vacancy in the office of the Chairperson by reason of his death, resignation or otherwise, the senior-most Membe...
Staff of Appellate Tribunal
1. The Central Government shall provide the Appellate Tribunal with such officers and employees as that Government may think fit. 2. The officers a...
Procedure and powers of Appellate Tribunal
1. The Appellate Tribunal shall not be bound by the procedure laid down by the Code of Civil Procedure, 1908 (5 of 1908), but shall be guided by the prin...
Distribution of business amongst Benches
Where any Benches are constituted, the Chairperson may, from time to time, by notification, make provisions as to the distribution of the business of the Appe...
Power of Chairperson to transfer cases
On the application of any of the parties and after notice to the parties, and after hearing such of them as he may desire to be heard, or on his own motion wi...
Decision to be by majority
If the Members of a Bench consisting of two Members differ in opinion on any point, they shall state the point or points on which they differ, and make a refe...
Right of appellant to take assistance of authorized representative and of Government to appoint presenting officers
1. A person preferring an appeal to the Appellate Tribunal under this Act may either appear in person or take the assistance of an authorised representat...
Members, etc., to be public servants
The Chairperson, Members and other officers and employees of the Appellate Tribunal, the Adjudicating Authority, Director and the officers subordinate to him ...
Civil court not to have jurisdiction
No civil court shall have jurisdiction to entertain any suit or proceeding in respect of any matter which the Director, an Adjudicating Authority or the Appel...
Appeal to High Court
Any person aggrieved by any decision or order of the Appellate Tribunal may file an appeal to the High Court within sixty days from the date of communication ...
|Chapter VII||Special Courts|
1. The Central Government, in consultation with the Chief Justice of the High Court, shall, for trial of offence punishable under section 4, by notificat...
Offences tribal by Special Courts
1. Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974),- a. the scheduled offence and the offence punishable under...
Offences to be cognizable and non-bailable
1. Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974),- a. every offence punishable under this Act shall be cogni...
Application of Code of Criminal Procedure, 1973 to proceedings before Special Court
1. Save as otherwise provided in this Act, the provisions of the Code of Criminal Procedure, 1973 (2 of 1974) (including the provisions as to bails or bo...
Appeal and revision
The High Court may exercise, so far as may be applicable, all the powers conferred by Chapter XXIX or Chapter XXX of the Code of Criminal Procedure, 1973 (2 o...
Authorities under Act
There shall be the following classes of authorities for the purposes of this Act, namely:- a. Director or Additional Director or Joint Director, b. D...
Appointment and powers of authorities and other officers
1. The Central Government may appoint such persons as it thinks fit to be authorities for the purposes of this Act. 2. Without prejudice to the pro...
Powers of authorities regarding summons, production of documents and to give evidence, etc.
1. The Director shall, for the purposes of section 13, have the same powers as are vested in a civil court under the Code of Civil Procedure, 1908 (5 of ...
Jurisdiction of authorities
1. The authorities shall exercise all or any of the powers and perform all or any of the functions conferred on, or, assigned, as the case may be, to suc...
Power of Central Government to issue directions, etc.
The Central Government may, from time to time, issue such orders, instructions and directions to the authorities as it may deem fit for the proper administrat...
Empowerment of certain officers
The Central Government may, by a special or general order, empower an officer not below the rank of Director of the Central Government or of a State Governmen...
Certain officers to assist in inquiry, etc.
The following officers are hereby empowered and required to assist the authorities in the enforcement of this Act, namely:- a. officers of the Customs a...
|Chapter IX||Reciprocal Arrangement for Assistance in Certain Matters and Procedure for Attachment and Confiscation of Property|
Definitions. In this Chapter, unless the context otherwise requires
a. "contracting State" means any country or place outside India in respect of which arrangements have been made by the Central Government with the Govern...
Agreements with foreign countries
1. The Central Government may enter into an agreement with the Government of any country outside India for- a. enforcing the provisions of this Act;...
Letter of request to a contracting State in certain cases
1. Notwithstanding anything contained in this Act or the Code of Criminal Procedure, 1973 (2 of 1974) if, in the course of an investigation into an offen...
Assistance to a contracting State in certain cases
Where a letter of request is received by the Central Government from a court or authority in a contracting State requesting for investigation into an offence ...
Reciprocal arrangements for processes and assistance for transfer of accused persons
1. Where a Special Court, in relation to an offence punishable under section 4, desires that- a. a summons to an accused person, or b. a warrant ...
Attachment, seizure and confiscation, etc., of property in a contracting State or India
1. Where the Director has made an order for attachment of any property under section 5 or where an Adjudicating Authority has made an order confirming su...
Procedure in respect of letter of request
Every letter of request, summons or warrant, received by the Central Government from, and every letter of request, summons or warrant, to be transmitted to a ...
Punishment for vexatious search
Any authority or officer exercising powers under this Act or any rules made thereunder, who, without reasons recorded in writing,- a. searches or causes...
Punishment for false information or failure to give information, etc.
1. Any person wilfully and maliciously giving false information and so causing an arrest or a search to be made under this Act shall on conviction be lia...
Cognizance of offences
1. No court shall take cognizance of any offence under section 62 or sub-section (1) of section 63 except with the previous sanction of the Central Gover...
Code of Criminal Procedure, 1973 to apply
The provisions of the Code of Criminal Procedure, 1973 (2 of 1974) shall apply, in so far as they are not inconsistent with the provisions of this Act, to arr...
Disclosure of information
The Director or any other authority specified by him by a general or special order in this behalf may furnish or cause to be furnished to- i. a...
Bar of suits in civil courts
No suit shall be brought in any civil court to set aside or modify any proceeding taken or order made under this Act and no prosecution, suit or other proceed...
Notice, etc., not to be invalid on certain grounds
No notice, summons, order, document or other proceeding, furnished or made or issued or taken or purported to have been furnished or made or issued or taken i...
Recovery of fines
Where any fine imposed on any person under section 13 or section 63 is not paid within six months from the day of imposition of fine, the Director or any othe...
Offences by companies
1. Where a person committing a contravention of any of the provisions of this Act or of any rule, direction or order made there under is a company, every...
Act to have overriding effect
The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force....
Continuation of proceedings in the event of death or insolvency
1. Where- a. any property of a person has been attached under section 8 and no appeal against the order attaching such property has been preferred; ...
Power to make rules
1. The Central Government may, by notification, make rules for carrying out the provisions of this Act. 2. In particular, and without prejudice to ...
Rules to be laid before Parliament
Every rule made under this Act shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period ...
Power to remove difficulties
1. If any difficulty arises in giving effect to the provisions of this Act, the Central Government may, by order, published in the Official Gazette, make...
121Waging, or attempting to wage war or abetting waging of war, against the Government of India.121AConspiracy to commit offences punishable by section 12...