Proceeds of Crime Act: Sri Lanka’s leap toward tackling corruption

Parliament, in a historic step aimed at combating systemic corruption and enhancing the rule of law, passed the Proceeds of Crime Act unanimously this week, a move that could be used to fast track unresolved and dragged past corrupt deals.

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This landmark legislation enables the government to identify, seize, and recover illicit assets acquired through criminal conduct.

The Act, analysts say, marks a new chapter in Sri Lanka’s anti-corruption drive after riddled with long delays amid political concerns.

“One of the serious demands put forwarded by the people during the last decade is that there should be some law to deal with corruption and misappropriation,” Lakmali Hemachandra, a ruling National People’s Power legislator said after tabling the Bill.

“Especially this was strongly surfaced after the 2022 and people demanded the recovery of stolen assets.”

The necessity for the law has been building for years. For decades, Sri Lanka has struggled with high-profile corruption cases involving politicians, bureaucrats, and business tycoons.

Although institutions such as the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) existed, their powers were limited—particularly in asset recovery.

Investigations would often stall, and even when convictions occurred, the state found itself unable to reclaim stolen public wealth.