The Prevention of Money-Laundering Act, 2002
Administered Ministry: Ministry of Finance / Department of Revenue
Act details
| Short title | The Prevention of Money-Laundering Act, 2002 |
|---|---|
| Long title | An Act to prevent money-laundering and to provide for confiscation of property derived from, or involved in, money-laundering and for matters connected therewith or incidental thereto. |
| Act number | 15 of 2003 |
| Act year | 2003 |
| Enactment date | 17 Jan 2003 |
| Ministry | Ministry of Finance / Department of Revenue |
| Department | Department of Revenue |
| Jurisdiction | Central (Parliament of India) |
| Sections | 81 |
| Schedules | 1 |
| Status | Not repealed |
| Last checked on India Code | 29 Oct 2026 |
| Source | India Code, Government of India |
Legislative history
Legislative History:
The Prevention of Money-Laundering Act, 2003
Short Title The Prevention of Money-Laundering Act, 2002
Act Number / Year 15 of 2003
Act ID (India Code) 200315
Presidential Assent Date January 17, 2003
Enforcement Date July 1, 2005
Nodal Ministry Ministry of Finance
Precedent & International Rationale
1. UN Declarations & International Commitments:
o UN Political Declaration & Global Programme of Action (1990): Adopted by the UN General Assembly Resolution S-17/2.
o UN Special Session on Countering Money Laundering (1998): UNGASS Political Declaration calling upon member states to enact domestic anti-money laundering (AML) legislation.
o FATF Standards: Alignment with Financial Action Task Force recommendations for proceeds-of-crime confiscation and financial intelligence tracking.
2. Domestic Rationale:
o Formulated to establish a comprehensive statutory regime to prevent money laundering, attach/confiscate property derived from criminal activity (scheduled offences), and mandate client verification and transaction reporting across financial institutions.
Parliamentary Trajectory & Enactment
• December 9, 1999: Introduced in the Lok Sabha as The Prevention of Money-Laundering Bill, 1999.
• 1999–2000: Referred to the Department-Related Parliamentary Standing Committee on Finance for scrutiny and stakeholder consultations.
• Enactment: Received Presidential Assent on January 17, 2003.
• Enforcement: Enforced on July 1, 2005.
Source: Official Records of Parliament, India Code, and Ministry of Finance (Department of Revenue).