Scheduled Offences Under AML Of India (Prevention Of Money Laundering Act, 2002 [PMLA]) - Money Laundering

Why, so many legislations attract PMLA? The endeavour of the Legislature is to cover not only the wealth earned through Illegal means, but also to bring Illegal Income under the purview of PMLA, which includes even Legal Income that is concealed from public authorities. As per the White Paper of May, 2012 by the Ministry of Finance, Government of India, The Money-Laundering is not only the wealth earned through illegal means, the same would also include legal income that is concealed from public authorities:

To evade payment of Taxes (Income Tax, Excise Duty, Sales Tax, Stamp Duty, etc);

To evade payment of other statutory contributions;

To evade compliance with the provisions of Industrial laws such as the Industrial Dispute Act 1947, Minimum Wages Act 1948, Payment of Bonus Act 1936, Factories Act 1948, and Contract Labour (Regulation and Abolition) Act 1970; and / or

To evade compliance with other laws and administrative procedures.

The above itself clarifies, why PMLA includes a wide range of legalisations in India under its ambit, despite the fact that patently none of these legislations have anything to do with the definition of Money-Laundering, as of now any evasion of the state levies and dues will also tantamount to Money-Laundering and attract PMLA.

Scheduled offences

PART A

PARAGRAPH 1

OFFENCES UNDER THE INDIAN PENAL CODE (45 of 1860)

Section	Description of offence
120B	Criminal conspiracy.
121	Waging or attempting to wage war or abetting waging of war, against the Government of India.
121A	Conspiracy to commit offences punishable by section 121 against the State.
255	Counterfeiting Government stamp.
257	Making or selling instrument for counterfeiting Government stamp.
258	Sale of counterfeit Government stamp.
259	Having possession of counterfeit Government stamp.
260	Using as genuine a Government stamp known to be counterfeit.
302	Murder.
304	Punishment for culpable homicide not amounting to murder.
307	Attempt to murder.
308	Attempt to commit culpable homicide.
327	Voluntarily causing hurt to extort property, or to constrain to an illegal act.
329	Voluntarily causing grievous hurt to extort property, or to constrain to an illegal act.
364A	Kidnapping for ransom. etc.
384 to 389	Offences relating to extortion.
392 to 402	Offences relating to robbery and dacoity .
411	Dishonestly receiving stolen property.
412	Dishonestly receiving property stolen in the commission of a dacoity.
413			Habitually dealing in stolen property.
414			Assisting in concealment of stolen property.
417			Punishment for cheating.
418			Cheating with knowledge that wrongful loss may ensue to person whose interest offender is bound to protect.
419			Punishment for cheating by personation.
420			Cheating and dishonestly inducing delivery of property.
421			Dishonest or fraudulent removal or concealment of property to prevent distribution among creditors.
422			Dishonestly or fraudulently preventing debt being available for creditors.
423			Dishonest or fraudulent execution of deed of transfer containing false statement of consideration.
424			Dishonest or fraudulent removal or concealment of property.
467			Forgery of valuable security, Will, etc.
471			Using as genuine a forged document or electronic record.
472 and 473			Making or possessing counterfeit seal, etc., with intent to commit forgery.
475 and 476			Counterfeiting device or mark.
481			Using a false property mark.
482			Punishment for using a false property mark.
483			Counterfeiting a property mark used by another.
484			Counterfeiting a mark used by a public servant.
485			Making or possession of any instrument for counterfeiting a property mark.
486			Selling goods marked with a counterfeit property mark.
487		Making a false mark upon any receptacle containing goods.
488		Punishment for making use of any such false mark.
489A		Counterfeiting currency notes or bank notes.
489B		Using as genuine. Forged or counterfeit currency notes or bank notes.

PARAGRAPH 2

OFFENCES UNDER THE NARCOTIC DRUGS AND PSYCHOTROPIC SUBSTANCES ACT, 1985

(61 of 1985)

Section	Description of offence
15	Contravention in relation to poppy straw.
16	Contravention in relation to coca plant and coca leaves.
17	Contravention in relation to prepared opium.
18	Contravention in relation to opium poppy and opium.
19	Embezzlement of opium by cultivator.
20	Contravention in relation to cannabis plant and cannabis.
21	Contravention in relation to manufactured drugs and preparations.
22	Contravention in relation to psychotropic substances.
23	Illegal import into India, export from India to transhipment of narcotic drugs and psychotropic substances.
24	External dealings in narcotic drugs and psychotropic substances in contravention of section 12 of the Narcotics Drugs and Psychotropic Substances Act, 1985.
25A		Contravention of orders made under section 9A of the Narcotic Drugs and Psychotropic Substances Act, 1985.
27A		Financing illicit traffic and harboring offenders.
29		Abetment and criminal conspiracy.

PARAGRAPH 3

OFFENCES UNDER THE EXPLOSIVE SUBSTANCES ACT, 1908 (6 of 1908)

Section	Description of offence
3	Causing explosion likely to endanger life or property.
4	Attempt to cause explosion, or for making or keeping explosives with intent to endanger life or property.
5	Making or possessing explosives under suspicious circumstances.

PARAGRAPH 4

OFFENCES UNDER THE UNLAWFUL ACTIVITIES (PREVENTION) ACT, 1967 (37 of 1967)

Section		Description of offence
10 read with section 3		Penalty for being member of an unlawful association, etc.
11 read with section 3		Penalty for dealing with funds of an unlawful association.
13 read with section 3		Punishment for unlawful activities.
16 read with section 15		Punishment for terrorist act.
16A		Punishment for making demands of radioactive substances, nuclear devices, etc.
17	Punishment for raising fund for terrorist act.
18	Punishment for conspiracy, etc.
18A	Punishment for organizing of terrorist camps.
18B	Punishment for recruiting of any person or persons for terrorist act.
19	Punishment for harboring, etc.
20	Punishment for being member of terrorist gang or organization.
21	Punishment for holding proceeds of terrorism.
38	Offence relating to membership of a terrorist organization.
39	Offence relating to support given to a terrorist organization.
40	Offence of raising fund for a terrorist organization.

PARAGRAPH 5

OFFENCES UNDER THE ARMS ACT, 1959 (54 of 1959)

Section		Description of offence
25		To manufacture, sell transfer, convert, repair or test or prove or expose or offer for sale or transfer or have in his possession for sale, transfer, conversion, repair, test or proof, any arms or ammunition to contravention of section 5 of the Arms Act, 1959.
		To acquire, have in possession or carry any prohibited arms or prohibited ammunition in contravention of section 7 of the Arms Act, 1959.
	Contravention of section 24 A of the Arms Act, 1959 relating to prohibition as to possession of notified arms in disturbed areas, etc.
	Contravention of section 24B of the Arms Act, 1959 relating to prohibition as to carrying of notified arms in or through public places in disturbed areas.
	Other offences specified in section 25.
26	To do any act in contravention of any provisions of section 3, 4, 10 or section 12 of the Arms Act, 1959 in such manner as specified in sub-section (1) of section 26 of the said Act.
	To do any act in contravention of any provisions of section 5, 6, 7 or section 11 of the Arms Act, 1959 in such manner as specified in sub-section (2) of section 26 of the said Act.
	Other offences specified in section 26.
27	Use of arms or ammunition in contravention of section 5 or use of any arms or ammunition in contravention of section 7 of the Arms Act, 1959.
28	Use and possession of fire arms or imitation fire arms in certain cases.
29	Knowingly purchasing arms from unlicensed person or for delivering arms, etc., to person not entitled to possess the same.
30	Contravention of any condition of a license or any provisions of the Arms Act, 1959 or any rule made there under.

PARAGRAPH 6

OFFENCES UNDER THE WILDLIFE (PROTECTION) ACT, 1972 (53 of 1972)

Section	Description of offence
51 read with section 9	Hunting of wild animals.
51 read with section 17 A	Contravention of provisions of section 17 A relating to prohibition of picking, uprooting, etc., of specified plants.
51 read with section 39	Contravention of provisions of section 39 relating to wild animals, etc., to be Government property.
51 read with section 44	Contravention of provisions of section 44 relating to dealings in trophy and animals articles without license prohibited.
51 read with section 48	Contravention of provisions of section 48 relating to purchase of animals, etc., by licensee.
51 read with section 49B	Contravention of provisions of section 19B relating to prohibition of dealings in trophies, animals, articles, etc., derived from scheduled animals.

PARAGRAPH 7

OFFENCES UNDER THE IMMORAL TRAFFIC (PREVENTION') ACT, 1956

(104 of 1956)

Section	Description of offence
5	Procuring, inducing or taking person for the sake of prostitution.
6	Detaining a person in premises where prostitution is carried on.
8	Seducing or soliciting for purpose of prostitution.
9	Seduction of a person in custody.

PARAGRAPH 8

OFFENCES UNDER THE PREVENTION OF CORRUPTION ACT, 1988 (49 of 1988)

Section	Description of offence
7	Public servant taking gratification other than legal remuneration in respect of an official act.
8	Taking gratification in order, by corrupt or illegal means, to influence public servant.
9	Taking gratification for exercise of personal influence with public servant.
10	Abetment by public servant of offences defined in section 8 or section 9 of the Prevention of Corruption Act, 1988.
13	Criminal misconduct by a public servant.

PARAGRAPH 9

OFFENCES UNDER THE EXPLOSIVES ACT, 1884 (4 of 1884)

Section	Description of offence
9B	Punishment for certain offences.
9C	Offences by companies.

PARAGRAPH 10

OFFENCES UNDER THE ANTIQUITIES AND ARTS TREASURES ACT, 1972 (52 of 1972)

Section	Description
25 read with section 3	Contravention of export trade in antiquities and art treasures.
28	Offences by companies.

PARAGRAPH 11

OFFENCES UNDER THE SECURITIES AND EXCHANGE BOARD OF INDIA ACT, 1992

(15 of 1992)

Section	Description
12A read with section 24	Prohibition of manipulative and deceptive devices, insider trading and substantial Acquisition of securities or control.

PARAGRAPH 12

OFFENCES UNDER THE CUSTOMS ACT, 1962 (52 of 1962)

Section	Description of offence
135	Evasion of duty or prohibitions.

PARAGRAPH 13

OFFENCES UNDER THE BONDED LABOUR SYSTEM (ABOLITION) ACT, 1976 (19 of 1976)

Section	Description of offence
16	Punishment for enforcement of bonded labor
18	Punishment for extracting bonded labor under the bonded labor system.
20	Abetment to be an offence.

PARAGRAPH 14

OFFENCES UNDER THE CHILD LABOUR (PROHIBITION AND REGULATION) ACT, 1986

(61 of 1986)

Section	Description of offence
14	Punishment for employment of any child to work in contravention of the provisions of section 3

PARAGRAPH 15

OFFENCES UNDER THE TRANSPLANTATION OF HUMAN ORGANS ACT, 1994

(42 of 1994)

Section	Description of offence
18	Punishment for removal of human organ without authority.
19	Punishment for commercial dealings in human organs.
20	Punishment for contravention of any other provisions of this Act.

PARAGRAPH 16

OFFENCES UNDER THE JUVENILE JUSTICE (CARE AND PROTECTION OF CHILDREN ACT, 2000

(56 of 2000)

Section	Description of offence
23	Punishment for cruelty to juvenile or child.
24	Employment of juvenile or child for begging.
25	Penalty for giving intoxicating liquor or narcotic drug or psychotropic substance to juvenile or child.
26	Exploitation of juvenile or child employee.

PARAGRAPH 17

OFFENCES UNDER THE EMIGRATION ACT, 1983

(31 of 1983)

Section	Description of offence
24	Offences and penalties.

PARAGRAPH 18

OFFENCES UNDER THE PASSPORTS ACT, 1967

(15 of 1967)

Section	Description of offence
12	Offence and penalties.

PARAGRAPH 19

OFFENCES UNDER THE FOREIGNERS ACT, 1946

(31 of 1946)

Section	Description of offence
14	Penalty for contravention of provisions of the Act, etc.
14B	Penalty for using forged passport
14C	Penalty for abetment.

PARAGRAPH 20

OFFENCES UNDER THE COPYRIGHT ACT, 1957

(14 of 1957)

Section	Description of offence
63	Offence of infringement of copyright or other rights conferred by this Act.
63A.	Enhanced penalty on second and subsequent convictions.
63B.	Knowing use of infringing copy of computer programme.
68A.	Penalty for contravention of section 52A.

PARAGRAPH 21

OFFENCES UNDER THE TRADE MARKS ACT, 1999

(47 of 1999)

Section		Description of offence
103		Penalty for applying false trademarks, trade descriptions, etc.
104		Penalty for selling goods or providing services to which false trade mark or
	false trade description is applied.
105	Enhanced penalty on second or subsequent conviction.
107	Penalty for falsely representing a trade mark as registered.
120	Punishment of abetment in India of acts done out of India.

PARAGRAPH 22

OFFENCES UNDER THE INFORMATION TECHNOLOGY ACT, 2000

(21 of 2000)

Section	Description of offence
72	Penalty for breach of confidentiality and privacy
75	Act to apply for offence or contravention committed outside India.

PARAGRAPH 23

OFFENCES UNDER THE BIOLOGICAL DIVERSITY ACT, 2002

(18 of 2003)

Section	Description of offence
55 read with section 6.	Penalties for contravention of section 6, etc.

PARAGRAPH 24

OFFENCES UNDER THE PROTECTION OF PLANT VARIETIES AND FARMERS' RIGHTS ACT, 2001

(53 of 2001)

Section	Description of offence
70 read with section 68	Penalty for applying false denomination, etc.
71 read with section 68		Penalty for selling varieties to which false denomination is applied.
72 read with section 68		Penalty for falsely representing a variety as registered.
73 read with section 68		Penalty for subsequent offence.

PARAGRAPH 25

OFFENCES UNDER THE ENVIRONMENT PROTECTION ACT, 1986

(29 of 1986)

Section	Description of offence
15 read with section 7	Penalty for discharging environmental pollutants, etc., in excess of prescribed standards.
15 read with section 8	Penalty for handling hazardous substances without complying with procedural safeguards.

PARAGRAPH 26

OFFENCES UNDER THE WATER (PREVENTION AND CONTROL OF POLLUTION) ACT, 1974

(6 of 1974)

Section	Description of offence
41 (2)	Penalty for pollution of stream or well.
43	Penalty for contravention of provisions of section 24.

PARAGRAPH 27

OFFENCES UNDER THE AIR (PREVENTION AND CONTROL OF POLLUTION) ACT, 1981

(14 of 1981)

Section	Description of offence
37	Failure to comply with the provisions for operating industrial plant.

PARAGRAPH 28

OFFENCES UNDER THE SUPPRESSION OF UNLAWFUL ACTS AGAINST SAFETY OF MARITIME NAVIGATION AND FIXED PLATFORMS ON CONTINENTAL SHELF ACT, 2002

(69 of 2002)

Section	Description of offence
3	Offences against ship, fixed platform, cargo of a ship, maritime navigational facilities, etc.

PART B

Part B (containing para 1 to para 25) has been omitted by the Prevention of Money Laundering (Amendment) Act, 2012 (2 of 2013) and all the offences of Part B have now been placed in Part A of the Schedule.

PART C

An offence which is the offence of cross border implications and is specified in,

(1) Part A; or

(2) omitted by the Prevention of Money Laundering (Amendment) Act, 2012 (2 of 2013) with effect from 15.02.2013.

(3) the offences against property under Chapter XVII of the Indian Penal Code.

You may also refer to the following link for details on anti-money laundering (AML) laws in India: http://moneylaundering.legal .

*Vijay Pal Dalmia, Advocate & Partner Vaish Associates Advocates
Email: vpdalmia@vaishlaw.com Mobile: 09810081079

The content of this article is intended to provide a general guide to the subject matter. Specialist professional advice should be sought about your specific circumstances. The views expressed in this article are solely of the authors of this article.

India: Scheduled Offences Under AML Of India (Prevention Of Money Laundering Act, 2002 [PMLA])

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