THE PROCEEDS OF CRIME ACT- For whom the bell tolls?

It cannot be gainsaid that without a Proceeds of Crime Act (or a similar piece of legislation with a different title) the fight to eliminate financial crime cannot be won.

- BY DR. DAYANATH JAYA- SURIYA P.C.

Sri Lanka's Proceeds of Crime Act No. 5 of 2025 (PoC) became law on 30 April 2025 and all the provisions will become effective the latest by 30 April 2026, unless certain parts of the Act are brought into operation earlier. With some 150 sections and several annexures it is not the easiest of legislation to read and comprehend. It is also important to note that some sections prevail over the provisions in the Anti-Corruption Act.The Preamble to the PoC states, inter alia, as follows:

"WHEREAS the committing of unlawful activities results in serious consequences and in certain circumstances causes pecuniary and other losses and the deprivation of the enjoyment of property rights by victims of such unlawful activities, the public at large and the state:

AND WHEREAS those who commit unlawful activities do not possess any legal right or other entitlement to enjoy and benefit from proceeds of such unlawful activities, and those who receive or derive proprietary rights to proceeds of such unlawful activities also do not possess any legal right to such property:

AND WHEREAS it is the responsibility of the state to take necessary measures to deprive perpetrators benefitting from proceeds of such unlawful activities and to have such proceeds returned to those who shall otherwise have received the entitlement to benefit from such proceeds: