‘Proceeds of Crime Act’ nears introduction: Justice Minister

Justice, Prison Affairs and Constitutional Reforms Minister Dr. Wijeyadasa Rajapakshe 

Justice, Prison Affairs and Constitutional Reforms Minister Dr. Wijeyadasa Rajapakshe yesterday announced that the new ‘Proceeds of Crime Act’ (POCA) supported by the International Monetary Fund (IMF), is now at the Cabinet stage and will soon be introduced. 

Speaking at an awareness conference on ‘Business debt and finance management’ on the side-lines of the Industry Expo 2024, organised by the Ceylon Federation of MSMEs, he said the legislation is part of the Government’s efforts to enhance governance as per the agreement with the IMF.

“The new law will allow for the judicial freezing and confiscation of proceeds of crime and establish a new authority to manage such seized assets,” Dr. Rajapakshe stated. 

He noted that under the new law, the burden of proof will shift to the offenders, who must demonstrate that the proceeds were earned lawfully, rather than the Government having to prove the illegality beyond a reasonable doubt.

Last month, Transparency International Sri Lanka (TISL) invited the public to review and provide feedback on the proposed Proceeds of Crime Act, highlighting its significance and the need for comprehensive input from diverse stakeholders.

The POCA aims to recover and manage stolen assets effectively, ensuring alignment with democratic principles. 

With technical assistance from the IMF, this legislation seeks to create a robust legal framework for tracing, seizing, recovering and managing illicitly acquired assets hidden offshore. 

It also aims to hold perpetrators of corruption accountable and return stolen assets to the people of Sri Lanka.