The Prevention of Money-Laundering Act, 2002
Administered Ministry: Ministry of Finance / Department of Revenue
Section
Section 58 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 or proceedings under this Act and forwarding to such court or authority any evidence connected therewith, the Central Government may forward such letter of request to the Special Court or to any authority under the Act as it thinks fit for execution of such request in accordance with the provisions of this Act or, as the case may be, any other law for the time being in force.
Section 58A Special Court to release the property.
1[58A. Special Court to release the property.--Where on closure of the criminal case or conclusion of a trial in a criminal court outside India under the corresponding law of any other country, such court finds that the offence of money-laundering has not taken place or the property in India is not involved in money-laundering, the Special Court may, on an application moved by the concerned person or the Director, after notice to the other party, order release of such property to the person entitled to receive it.]
1. Ins. by Act 2 of 2013, s. 24 (w.e.f. 15-2-2013).
Section 58B Letter of request of a contracting State or authority for confiscation or release the property.
1[58B. Letter of request of a contracting State or authority for confiscation or release the property.--Where the trial under the corresponding law of any other country cannot be conducted by reason of the death of the accused or the accused being declared a proclaimed offender or for any other reason or having commenced but could not be concluded, the Central Government shall, on receipt of a letter of request from a court or authority in a contracting State requesting for confiscation or release of property, as the case may be, forward the same to the Director to move an application before the Special Court and upon such application the Special Court shall pass appropriate orders regarding confiscation or release of such property involved in the offence of money-laundering.]
1. Ins. by Act 2 of 2013, s. 24 (w.e.f. 15-2-2013).
Section 59 Reciprocal arrangements for processes and assistance for transfer of accused persons.
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 for the arrest of an accused person, or
(c) a summons to any person requiring him to attend and produce a document or other thing or to produce it, or
(d) a search warrant,
issued by it shall be served or executed at any place in any contracting State, it shall send such summons or warrant in duplicate in such form, to such Court, Judge or Magistrate through such authorities, as the Central Government may, by notification, specify in this behalf and that Court, Judge or Magistrate, as the case may be, shall cause the same to be executed.
(2) Where a Special Court, in relation to an offence punishable under section 4 has received for service or execution--
(a) a summons to an accused person, or
(b) a warrant for the arrest of an accused person, or
(c) a summons to any person requiring him to attend and produce a document or other thing, or to produce it, or
(d) a search warrant,
issued by a Court, Judge or Magistrate in a contracting State, it shall, cause the same to be served or executed as if it were a summons or warrant received by it from another Court in the said territories for service or execution within its local jurisdiction; and where--
(i) a warrant of arrest has been executed, the person arrested shall be dealt with in accordance with the procedure specified under section 19;
(ii) a search warrant has been executed, the things found in this search shall, so far as possible, be dealt with in accordance with the procedure specified under sections 17 and 18:
Provided that in a case where a summon or search warrant received from a contracting State has been executed, the documents or other things produced or things found in the search shall be forwarded to the Court issuing the summons or search-warrant through such authority as the Central Government may, by notification, specify in this behalf.
(3) Where a person transferred to a contracting State pursuant to sub-section (2) is a prisoner in India, the Special Court or the Central Government may impose such conditions as that Court or Government deems fit.
(4) Where the person transferred to India pursuant to sub-section (1) is a prisoner in a contracting State, the Special Court in India shall ensure that the conditions subject to which the prisoner is transferred to India are complied with and such prisoner shall be kept in such custody subject to such conditions as the Central Government may direct in writing.
(a) a summons to an accused person, or
(b) a warrant for the arrest of an accused person, or
(c) a summons to any person requiring him to attend and produce a document or other thing or to produce it, or
(d) a search warrant,
issued by it shall be served or executed at any place in any contracting State, it shall send such summons or warrant in duplicate in such form, to such Court, Judge or Magistrate through such authorities, as the Central Government may, by notification, specify in this behalf and that Court, Judge or Magistrate, as the case may be, shall cause the same to be executed.
(2) Where a Special Court, in relation to an offence punishable under section 4 has received for service or execution--
(a) a summons to an accused person, or
(b) a warrant for the arrest of an accused person, or
(c) a summons to any person requiring him to attend and produce a document or other thing, or to produce it, or
(d) a search warrant,
issued by a Court, Judge or Magistrate in a contracting State, it shall, cause the same to be served or executed as if it were a summons or warrant received by it from another Court in the said territories for service or execution within its local jurisdiction; and where--
(i) a warrant of arrest has been executed, the person arrested shall be dealt with in accordance with the procedure specified under section 19;
(ii) a search warrant has been executed, the things found in this search shall, so far as possible, be dealt with in accordance with the procedure specified under sections 17 and 18:
Provided that in a case where a summon or search warrant received from a contracting State has been executed, the documents or other things produced or things found in the search shall be forwarded to the Court issuing the summons or search-warrant through such authority as the Central Government may, by notification, specify in this behalf.
(3) Where a person transferred to a contracting State pursuant to sub-section (2) is a prisoner in India, the Special Court or the Central Government may impose such conditions as that Court or Government deems fit.
(4) Where the person transferred to India pursuant to sub-section (1) is a prisoner in a contracting State, the Special Court in India shall ensure that the conditions subject to which the prisoner is transferred to India are complied with and such prisoner shall be kept in such custody subject to such conditions as the Central Government may direct in writing.
Section 60 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 1[property under section 5 or for freezing under sub-section (1A) of section 17 or where an Adjudicating Authority has made an order relating to a property under section 8 or where a Special Court has made an order of confiscation relating to a property under sub-section (5) or sub section (6) of section 8] and such property is suspected to be in a contracting State, the Special Court, on an application by the Director or the Administrator appointed under sub-section (1) of section 10, as the case may be , may issue a letter of request to a court or an authority in the contracting State for execution of such order.
(2) Where a letter of request is received by the Central Government from a court or an authority in a contracting State requesting 2[attachment, seizure, freezing or confiscation] of the property in India, derived or obtained, directly or indirectly, by any person from the commission of an offence under 3[a corresponding law] committed in that contracting State, the Central Government may forward such letter of request to the Director, as it thinks fit, for execution in accordance with the provisions of this Act.
4[(2A) Where on closure of the criminal case or conclusion of trial in a criminal court outside India under the corresponding law of any other country, such court finds that the offence of money-laundering under the corresponding law of that country has been committed, the 5[Special Court] shall, on receipt of an application from the Director for execution of confiscation under sub-section (2), order, after giving notice to the affected persons, that such property involved in money-laundering or which has been used for commission of the offence of money-laundering stand confiscated to the Central Government.
(3) The Director shall, on receipt of a letter of request under section 58 or section 59, direct any authority under this Act to take all steps necessary for tracing and identifying such property.
(4) The steps referred to in sub-section (3) may include any inquiry, investigation or survey in respect of any person, place, property, assets, documents, books of account in any bank or public financial institutions or any other relevant matters.
(5) Any inquiry, investigation or survey referred to in sub-section (4) shall be carried out by an authority mentioned in sub-section (3) in accordance with such directions issued in accordance with the provisions of this Act.
(6) The provisions of this Act relating to attachment, adjudication, confiscation and vesting of property in the Central Government contained in Chapter III and survey, searches and seizures contained in Chapter V shall apply to the property in respect of which letter of request is received from a court or contracting State for attachment or confiscation of property.
5[(7) When any property in India is confiscated as a result of execution of a request from a contracting State in accordance with the provisions of this Act, the Central Government may either return such property to the requesting State or compensate that State by disposal of such property on mutually agreed terms that would take into account deduction for reasonable expenses incurred in investigation, prosecution or judicial proceedings leading to the return or disposal of confiscated property.]
(2) Where a letter of request is received by the Central Government from a court or an authority in a contracting State requesting 2[attachment, seizure, freezing or confiscation] of the property in India, derived or obtained, directly or indirectly, by any person from the commission of an offence under 3[a corresponding law] committed in that contracting State, the Central Government may forward such letter of request to the Director, as it thinks fit, for execution in accordance with the provisions of this Act.
4[(2A) Where on closure of the criminal case or conclusion of trial in a criminal court outside India under the corresponding law of any other country, such court finds that the offence of money-laundering under the corresponding law of that country has been committed, the 5[Special Court] shall, on receipt of an application from the Director for execution of confiscation under sub-section (2), order, after giving notice to the affected persons, that such property involved in money-laundering or which has been used for commission of the offence of money-laundering stand confiscated to the Central Government.
(3) The Director shall, on receipt of a letter of request under section 58 or section 59, direct any authority under this Act to take all steps necessary for tracing and identifying such property.
(4) The steps referred to in sub-section (3) may include any inquiry, investigation or survey in respect of any person, place, property, assets, documents, books of account in any bank or public financial institutions or any other relevant matters.
(5) Any inquiry, investigation or survey referred to in sub-section (4) shall be carried out by an authority mentioned in sub-section (3) in accordance with such directions issued in accordance with the provisions of this Act.
(6) The provisions of this Act relating to attachment, adjudication, confiscation and vesting of property in the Central Government contained in Chapter III and survey, searches and seizures contained in Chapter V shall apply to the property in respect of which letter of request is received from a court or contracting State for attachment or confiscation of property.
5[(7) When any property in India is confiscated as a result of execution of a request from a contracting State in accordance with the provisions of this Act, the Central Government may either return such property to the requesting State or compensate that State by disposal of such property on mutually agreed terms that would take into account deduction for reasonable expenses incurred in investigation, prosecution or judicial proceedings leading to the return or disposal of confiscated property.]
1. Subs. by Act 2 of 2013, s. 25, for certain words and figures (w.e.f. 15-2-2013).
2. Subs. by s. 25, ibid.,for "attachment or confiscation" (w.e.f. 15-2-2013).
3. Subs. by s. 25, ibid., for "section 3" (w.e.f. 15-2-2013).
4. Ins. by s. 25, ibid. (w.e.f. 15-2-2013).
5. Subs. by Act 20 of 2015, s. 150, for "Adjudicating Authority" (w.e.f. 14-5-2015).
6. Ins. by Act 21 of 2009, s. 12 (w.e.f. 1-6-2009).
2. Subs. by s. 25, ibid.,for "attachment or confiscation" (w.e.f. 15-2-2013).
3. Subs. by s. 25, ibid., for "section 3" (w.e.f. 15-2-2013).
4. Ins. by s. 25, ibid. (w.e.f. 15-2-2013).
5. Subs. by Act 20 of 2015, s. 150, for "Adjudicating Authority" (w.e.f. 14-5-2015).
6. Ins. by Act 21 of 2009, s. 12 (w.e.f. 1-6-2009).
Section 61 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 contracting State under this Chapter shall be transmitted to a contracting State or, as the case may be, sent to the concerned Court in India and in such form and in such manner as the Central Government may, by notification, specify in this behalf.
Section 62 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 to be searched any building or place; or
(b) detains or searches or arrests any person,
shall for every such offence be liable on conviction for imprisonment for a term which may extend to two years or fine which may extend to fifty thousand rupees or both.
(a) searches or causes to be searched any building or place; or
(b) detains or searches or arrests any person,
shall for every such offence be liable on conviction for imprisonment for a term which may extend to two years or fine which may extend to fifty thousand rupees or both.
Section 63 Punishment for false information or failure to give information, etc.
(I) 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 liable for imprisonment for a term which may extend to two years or with fine which may extend to fifty thousand rupees or both.
(2) If any person,--
(a) being legally bound to state the truth of any matter relating to an offence under section 3, refuses to answer any question put to him by an authority in the exercise of its powers under this Act; or
(b) refuses to sign any statement made by him in the course of any proceedings under this Act, which an authority may legally require to sign; or
(c) to whom a summon is issued under section 50 either to attend to give evidence or produce books of account or other documents at a certain place and time, omits to attend or produce books of account or documents at the place or time,
he shall pay, by way of penalty, a sum which shall not be less than five hundred rupees but which may extend to ten thousand rupees for each such default or failure.
(3) No order under this section shall be passed by an authority referred to in sub-section (2) unless the person on whom the penalty is proposed to be imposed is given an opportunity of being heard in the matter by such authority.
1[(4) Notwithstanding anything contained in clause (c) of sub-section (2), a person who intentionally disobeys any direction issued under section 50 shall also be liable to be proceeded against under section 174 of the Indian Penal Code (45 of 1860).]
(2) If any person,--
(a) being legally bound to state the truth of any matter relating to an offence under section 3, refuses to answer any question put to him by an authority in the exercise of its powers under this Act; or
(b) refuses to sign any statement made by him in the course of any proceedings under this Act, which an authority may legally require to sign; or
(c) to whom a summon is issued under section 50 either to attend to give evidence or produce books of account or other documents at a certain place and time, omits to attend or produce books of account or documents at the place or time,
he shall pay, by way of penalty, a sum which shall not be less than five hundred rupees but which may extend to ten thousand rupees for each such default or failure.
(3) No order under this section shall be passed by an authority referred to in sub-section (2) unless the person on whom the penalty is proposed to be imposed is given an opportunity of being heard in the matter by such authority.
1[(4) Notwithstanding anything contained in clause (c) of sub-section (2), a person who intentionally disobeys any direction issued under section 50 shall also be liable to be proceeded against under section 174 of the Indian Penal Code (45 of 1860).]
1. Ins. by Act 2 of 2013, s.26 (w.e.f. 15-2-2013).
Section 64 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 Government.
(2) The Central Government shall, by an order, either give sanction or refuse to give sanction within ninety days of the receipt of the request in this behalf.
(2) The Central Government shall, by an order, either give sanction or refuse to give sanction within ninety days of the receipt of the request in this behalf.
Section 65 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 arrest, search and seizure, attachment, confiscation investigation, prosecution and all other proceedings under this Act.
Section 66 Disclosure of information. 6 docs
1[(1)] 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) any officer, authority or body performing any functions under any law relating to imposition of any tax, duty or cess or to dealings in foreign exchange, or prevention of illicit traffic in the narcotic drugs and psychotropic substances under the Narcotic Drugs and Psychotropic Substances Act, 1985 (61 of 1985); or
(ii) such other officer, authority or body performing functions under any other law as the Central Government may, if in its opinion it is necessary so to do in the public interest, specify, by notification in the Official Gazette, in this behalf, any information received or obtained by such Director or any other authority, specified by him in the performance of their functions under this Act, as may, in the opinion of the Director or the other authority, so specified by him, be necessary for the purpose of the officer, authority or body specified in clause (i) or clause (ii) to perform his or its functions under that law.
2[(2) If the Director or other authority specified under sub-section (1) is of the opinion, on the basis of information or material in his possession, that the provisions of any other law for the time being in force are contravened, then the Director or such other authority shall share the information with the concerned agency for necessary action.]
(i) any officer, authority or body performing any functions under any law relating to imposition of any tax, duty or cess or to dealings in foreign exchange, or prevention of illicit traffic in the narcotic drugs and psychotropic substances under the Narcotic Drugs and Psychotropic Substances Act, 1985 (61 of 1985); or
(ii) such other officer, authority or body performing functions under any other law as the Central Government may, if in its opinion it is necessary so to do in the public interest, specify, by notification in the Official Gazette, in this behalf, any information received or obtained by such Director or any other authority, specified by him in the performance of their functions under this Act, as may, in the opinion of the Director or the other authority, so specified by him, be necessary for the purpose of the officer, authority or body specified in clause (i) or clause (ii) to perform his or its functions under that law.
2[(2) If the Director or other authority specified under sub-section (1) is of the opinion, on the basis of information or material in his possession, that the provisions of any other law for the time being in force are contravened, then the Director or such other authority shall share the information with the concerned agency for necessary action.]
1. Section 66 numbered as sub-section (1) by Act 13 of 2018, s. 208 (w.e.f. 19-4-2018).
2. Ins. by Act 13 of 2018, s. 208 (w.e.f. 19-4-2018).
2. Ins. by Act 13 of 2018, s. 208 (w.e.f. 19-4-2018).
Section 67 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 proceeding shall lie against the Government or any officer of the Government for anything done or intended to be done in good faith under this Act.
Section 68 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 in pursuance of any of the provisions of his Act shall be invalid, or shall be deemed to be invalid merely by reason of any mistake, defect or omission in such notice, summons, order, document or other proceeding if such notice, summons, order, document or other proceeding is in substance and effect in conformity with or according to the intent and purpose of this Act.
Section 69 Recovery of fine or penalty.
1[69. Recovery of fine or penalty.—Where any fine or penalty imposed on any person under section 13 or section 63 is not paid within six months from the day of imposition of fine or penalty, the Director or any other officer authorised by him in this behalf may proceed to recover the amount from the said person in the same manner as prescribed in Schedule II of the Income-tax Act, 1961 (43 of 1961) for the recovery of arrears and he or any officer authorised by him in this behalf shall have all the powers of the Tax Recovery Officer mentioned in the said Schedule for the said purpose.]
1. Subs. by Act 2 of 2013, s.27, for section 69 (w.e.f. 15-2-2013).
Section 70 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 thereunder is a company, every person who, at the time the contravention was committed, was in charge of and was responsible to the company, for the conduct of the business of the company as well as the company, shall be deemed to be guilty of the contravention and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to punishment if he proves that the contravention took place without his knowledge or that he exercised all due diligence to prevent such contravention.
(2) Notwithstanding anything contained in sub-section (1), where a contravention of any of the provisions of this Act or of any rule, direction or order made thereunder has been committed by a company and it is proved that the contravention has taken place with the consent or connivance of, or is attributable to any neglect on the part of any director, manager, secretary or other officer of any company, such director, manager, secretary or other officer shall also be deemed to be guilty of the contravention and shall be liable to be proceeded against and punished accordingly.
Explanation 1[1].--For the purposes of this section,--
(i) "company" means any body corporate and includes a firm or other association of individuals; and
(ii) "director", in relation to a firm, means a partner in the firm.
2[Explanation 2.--For the removal of doubts, it is hereby clarified that a company may be prosecuted, notwithstanding whether the prosecution or conviction of any legal juridical person shall be contingent on the prosecution or conviction of any individual.]
Provided that nothing contained in this sub-section shall render any such person liable to punishment if he proves that the contravention took place without his knowledge or that he exercised all due diligence to prevent such contravention.
(2) Notwithstanding anything contained in sub-section (1), where a contravention of any of the provisions of this Act or of any rule, direction or order made thereunder has been committed by a company and it is proved that the contravention has taken place with the consent or connivance of, or is attributable to any neglect on the part of any director, manager, secretary or other officer of any company, such director, manager, secretary or other officer shall also be deemed to be guilty of the contravention and shall be liable to be proceeded against and punished accordingly.
Explanation 1[1].--For the purposes of this section,--
(i) "company" means any body corporate and includes a firm or other association of individuals; and
(ii) "director", in relation to a firm, means a partner in the firm.
2[Explanation 2.--For the removal of doubts, it is hereby clarified that a company may be prosecuted, notwithstanding whether the prosecution or conviction of any legal juridical person shall be contingent on the prosecution or conviction of any individual.]
1. Explanation shall be numbered as Explanation 1 by s.28, ibid. (w.e.f. 15-2-2013).
2. Ins. by Act 2 of 2013, s. 28 (w.e.f. 15-2-2013).
2. Ins. by Act 2 of 2013, s. 28 (w.e.f. 15-2-2013).
Section 71 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.
Section 72 Continuation of proceedings in the event of death or insolvency.
(1) Where--
(a) any property of a persons has been attached under section 8 and no appeal against the order attaching such property has been preferred; or
(b) any appeal has been preferred to the Appellate Tribunal, and--
(i) in a case referred to in clause (a), such person dies or is adjudicated an insolvent before preferring an appeal to the Appellate Tribunal; or
(ii) in a case referred to in clause (b), such person dies or is adjudicated an insolvent during the pendency of the appeal,
then, it shall be lawful for the legal representatives of such person or the official assignee or the official receiver, as the case may be, to prefer an appeal to the Appellate Tribunal or as the case may be, to continue the appeal before the Appellate Tribunal, in place of such person and the provisions of section 26 shall, so far as may be, apply, or continue to apply, to such appeal.
(2) Where--
(a) after passing of a decision or order by the Appellate Tribunal, no appeal has been preferred to the High court under section 42; or
(b) any such appeal has been preferred to the High Court,--
then--
(i) in a case referred to in clause (a), the person entitled to file the appeal dies or is adjudicated an insolvent before preferring an appeal to the High Court, or
(ii) in a case referred to in clause (b), the person who had filed the appeal dies or is adjudicated an insolvent during the pendency of the appeal before the High Court,
then, it shall be lawful for the legal representatives of such person, or the official assignee or the official receiver, as the case may be, to prefer an appeal to the High Court or to continue the appeal before the High Court in place of such person and the provisions of section 42 shall, so far as may be, apply, or continue to apply, to such appeal.
(3) The powers of the official assignee or the official receiver under sub-section (1) or sub-section (2) shall be exercised by him subject to the provisions of the Presidency-towns Insolvency Act, 1909 (3 of 1909) or the Provincial Insolvency Act, 1920 (5 of 1920), as the case may be.
(a) any property of a persons has been attached under section 8 and no appeal against the order attaching such property has been preferred; or
(b) any appeal has been preferred to the Appellate Tribunal, and--
(i) in a case referred to in clause (a), such person dies or is adjudicated an insolvent before preferring an appeal to the Appellate Tribunal; or
(ii) in a case referred to in clause (b), such person dies or is adjudicated an insolvent during the pendency of the appeal,
then, it shall be lawful for the legal representatives of such person or the official assignee or the official receiver, as the case may be, to prefer an appeal to the Appellate Tribunal or as the case may be, to continue the appeal before the Appellate Tribunal, in place of such person and the provisions of section 26 shall, so far as may be, apply, or continue to apply, to such appeal.
(2) Where--
(a) after passing of a decision or order by the Appellate Tribunal, no appeal has been preferred to the High court under section 42; or
(b) any such appeal has been preferred to the High Court,--
then--
(i) in a case referred to in clause (a), the person entitled to file the appeal dies or is adjudicated an insolvent before preferring an appeal to the High Court, or
(ii) in a case referred to in clause (b), the person who had filed the appeal dies or is adjudicated an insolvent during the pendency of the appeal before the High Court,
then, it shall be lawful for the legal representatives of such person, or the official assignee or the official receiver, as the case may be, to prefer an appeal to the High Court or to continue the appeal before the High Court in place of such person and the provisions of section 42 shall, so far as may be, apply, or continue to apply, to such appeal.
(3) The powers of the official assignee or the official receiver under sub-section (1) or sub-section (2) shall be exercised by him subject to the provisions of the Presidency-towns Insolvency Act, 1909 (3 of 1909) or the Provincial Insolvency Act, 1920 (5 of 1920), as the case may be.
Section 72A Inter-ministerial Co-ordination Committee.
1[72A. Inter-ministerial Co-ordination Committee.--The Central Government may, by notification, constitute an Inter-ministerial Co-ordination Committee for inter-departmental and inter-agency coordination for the following purposes, namely:
(a) operational co-operation between the Government, law enforcement agencies, the Financial Intelligence Unit, India and the regulators or supervisors;
(b) policy co-operation and co-ordination across all relevant or competent authorities;
(c) such consultation among the concerned authorities, the financial sector and other sectors, as are appropriate, and are related to anti money-laundering or countering the financing of terrorism laws, regulations and guidelines;
(d) development and implementing policies on anti money-laundering or countering the financing of terrorism; and
(e) any other matter as the Central Government may, by notification, specify in this behalf.]
(a) operational co-operation between the Government, law enforcement agencies, the Financial Intelligence Unit, India and the regulators or supervisors;
(b) policy co-operation and co-ordination across all relevant or competent authorities;
(c) such consultation among the concerned authorities, the financial sector and other sectors, as are appropriate, and are related to anti money-laundering or countering the financing of terrorism laws, regulations and guidelines;
(d) development and implementing policies on anti money-laundering or countering the financing of terrorism; and
(e) any other matter as the Central Government may, by notification, specify in this behalf.]
1. Ins. by Act 23 of 2019, s. 201 (w.e.f. 1-8-2019).
Section 73 Power to make rules. 6 docs
(1) The Central Government may, by notification, make rules for carrying out the provisions of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:--
(a) the form in which records referred to in this Act may be maintained;
1[(aa) the manner of provisional attachment of property under sub-section (1) of section 5;]
(b) the manner in which the order and the material referred to in sub-section (2) of section 5 to be maintained;
(c) matters in respect of experience of Members under sub-section (3) of section 6;
(d) the salaries and allowances payable to and other terms and conditions of service of Members of the Adjudicating Authority under sub-section (9) of section 6;
(e) the salaries and allowances payable to and other terms and conditions of service of the officers and employees of the Adjudicating Authority under sub-section (3) of section 7;
2[(ee) the manner of seizing or taking possession of property attached under section 5 or frozen under sub-section (1A) of section 17 or under sub-section (4) of section 8;]
(f) the manner in which and the conditions subject to which the properties confiscated may be received and managed under sub-section (2) of section 10;
(g) the additional matters in respect of which the Adjudicating Authority may exercise the powers of a civil court under clause (f) of sub-section (1) of section 11;
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(i) 4[the nature and value of transactions and the time within which] the information of transactions under clause (b) of sub- section (1) of section 12 shall be furnished;
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6[(jja) the manner and the conditions in which authentication of the identity of clients shall be verified by the reporting entities under clause (a) of sub-section (1) of section 12AA;]
(jjb) the manner of identifying the ownership and financial position of the client under clause (b) of sub-section (1) of section 12AA;
(jjc) additional steps to record the purpose behind conducting the specified transaction and the intended nature of the relationship between the transaction parties under clause (c) of sub-section (1) of section 12AA;
(jjd) manner of increasing the future monitoring under sub-section (3) of section 12AA.]
(jjj) the period of interval in which the reports are sent by the reporting entities or any of its employees under clause (c) of sub-section (2) of section 13;]
(k) the procedure and the manner of maintaining and furnishing information under sub-section (1) of section 12 as required under section 15;
(l) the manner in which the reasons and the material referred to in sub-section (2) of section 16 shall be maintained;
(m) the rules relating to search and seizure under sub-section (1) of section 17;
(n) the manner in which the reasons and the material referred to in sub-section (2) of section 17 shall be maintained;
(o) the manner in which the reasons and the material referred to in sub-section (2) of section 18 shall be maintained;
(p) the manner in which the order and the material referred to in sub-section (2) of section 19 shall be maintained;
2[(pp) the manner in which the forwarding of the order for retention or continuation of freezing of the property and the period of keeping such order and material under sub-section (2) of section 20;]
(q) the manner in which records authenticated outside India may be received under sub-section (2) of section 22;
(r) the form of appeal and the fee for filing such appeal, under sub-section (3) of section 26;
6* * * * *
(u) the additional matters in respect of which the Appellate Tribunal may exercise the powers of a civil court under clause (i) of sub-section (2) of section 35;
7[(ua) conditions subject to which a police officer may be authorised to investigate into an offence under sub-section (1A) of section 45;
(v) the additional matters in respect of which the authorities may exercise powers of a civil court under clause (f) of sub-section (1) of section 50;
(w) the rules relating to impounding and custody of records under sub-section (5) of section 50;
(x) any other matter which is required to be, or may be, prescribed.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:--
(a) the form in which records referred to in this Act may be maintained;
1[(aa) the manner of provisional attachment of property under sub-section (1) of section 5;]
(b) the manner in which the order and the material referred to in sub-section (2) of section 5 to be maintained;
(c) matters in respect of experience of Members under sub-section (3) of section 6;
(d) the salaries and allowances payable to and other terms and conditions of service of Members of the Adjudicating Authority under sub-section (9) of section 6;
(e) the salaries and allowances payable to and other terms and conditions of service of the officers and employees of the Adjudicating Authority under sub-section (3) of section 7;
2[(ee) the manner of seizing or taking possession of property attached under section 5 or frozen under sub-section (1A) of section 17 or under sub-section (4) of section 8;]
(f) the manner in which and the conditions subject to which the properties confiscated may be received and managed under sub-section (2) of section 10;
(g) the additional matters in respect of which the Adjudicating Authority may exercise the powers of a civil court under clause (f) of sub-section (1) of section 11;
3* * * * *
(i) 4[the nature and value of transactions and the time within which] the information of transactions under clause (b) of sub- section (1) of section 12 shall be furnished;
5*****
6[(jja) the manner and the conditions in which authentication of the identity of clients shall be verified by the reporting entities under clause (a) of sub-section (1) of section 12AA;]
(jjb) the manner of identifying the ownership and financial position of the client under clause (b) of sub-section (1) of section 12AA;
(jjc) additional steps to record the purpose behind conducting the specified transaction and the intended nature of the relationship between the transaction parties under clause (c) of sub-section (1) of section 12AA;
(jjd) manner of increasing the future monitoring under sub-section (3) of section 12AA.]
(jjj) the period of interval in which the reports are sent by the reporting entities or any of its employees under clause (c) of sub-section (2) of section 13;]
(k) the procedure and the manner of maintaining and furnishing information under sub-section (1) of section 12 as required under section 15;
(l) the manner in which the reasons and the material referred to in sub-section (2) of section 16 shall be maintained;
(m) the rules relating to search and seizure under sub-section (1) of section 17;
(n) the manner in which the reasons and the material referred to in sub-section (2) of section 17 shall be maintained;
(o) the manner in which the reasons and the material referred to in sub-section (2) of section 18 shall be maintained;
(p) the manner in which the order and the material referred to in sub-section (2) of section 19 shall be maintained;
2[(pp) the manner in which the forwarding of the order for retention or continuation of freezing of the property and the period of keeping such order and material under sub-section (2) of section 20;]
(q) the manner in which records authenticated outside India may be received under sub-section (2) of section 22;
(r) the form of appeal and the fee for filing such appeal, under sub-section (3) of section 26;
6* * * * *
(u) the additional matters in respect of which the Appellate Tribunal may exercise the powers of a civil court under clause (i) of sub-section (2) of section 35;
7[(ua) conditions subject to which a police officer may be authorised to investigate into an offence under sub-section (1A) of section 45;
(v) the additional matters in respect of which the authorities may exercise powers of a civil court under clause (f) of sub-section (1) of section 50;
(w) the rules relating to impounding and custody of records under sub-section (5) of section 50;
(x) any other matter which is required to be, or may be, prescribed.
1. Ins. by s. 29, ibid. (w.e.f. 15-2-2013).
2. Ins. by Act 2 of 2013, s. 29 (w.e.f. 15-2-2013).
3. Clause (h) omitted by s. 29, ibid. (w.e.f. 15-2-2013).
4. Subs. by s. 29, ibid., for the time within which (w.e.f. 15-2-2013).
5. Clauses (j) and (jj) omitted by Act 14 of 2019, s. 29 (w.e.f. 25-07-2019).
6. Ins. by Act 23 of 2019, s. 202 (w.e.f. 1-8-2019).
6. Clauses (s) and (t) omitted by Act 28 of 2016, s. 232 (w.e.f. 1-6-2016).
7. Ins. by Act 20 of 2005, s. 8 (w.e.f. 1-7-2005).
2. Ins. by Act 2 of 2013, s. 29 (w.e.f. 15-2-2013).
3. Clause (h) omitted by s. 29, ibid. (w.e.f. 15-2-2013).
4. Subs. by s. 29, ibid., for the time within which (w.e.f. 15-2-2013).
5. Clauses (j) and (jj) omitted by Act 14 of 2019, s. 29 (w.e.f. 25-07-2019).
6. Ins. by Act 23 of 2019, s. 202 (w.e.f. 1-8-2019).
6. Clauses (s) and (t) omitted by Act 28 of 2016, s. 232 (w.e.f. 1-6-2016).
7. Ins. by Act 20 of 2005, s. 8 (w.e.f. 1-7-2005).
Section 74 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 of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.