An Act to consolidate and amend the law relating to the prevention of corruption and for matters connected therewith.
BE it enacted by Parliament in the Thirty-ninth Year of the Republic of India as follows:—
CHAPTER I
PRELIMINARY
1. Short title and extent.—(1) This Act may be called the Prevention of Corruption Act, 1988.
(2) It extends to the whole of India [1]*** and it applies also to all citizens of India outside India.
[2][(aa) ‘‘prescribed’’ means prescribed by rules made under this Act and the expression ‘‘prescribe’’ shall be construed accordingly;]
Explanation.—In this clause “State” includes a corporation established by or under a Central,
Provincial or State Act, or an authority or a body owned or controlled or aided by the Government or a Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956); (c) “public servant” means—
Government or a Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956);
corporation established by or under a Central, Provincial or State Act, or any authority or body owned or controlled or aided by the Government or a Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956);
[3][(d) “undue advantage” means any gratification whatever, other than legal remuneration.
Explanation.—For the purposes of this clause,—
Explanation 1.—Persons falling under any of the above sub-clauses are public servants, whether appointed by the Government or not.
Explanation 2.—Wherever the words “public servant” occur, they shall be understood of every person who is in actual possession of the situation of a public servant, whatever legal defect there may be in his right to hold that situation.
CHAPTER II
APPOINTMENT OF SPECIAL JUDGES
(2) A person shall not be qualified for appointment as a special Judge under this Act unless he is or has been a Sessions Judge or an Additional Sessions Judge or an Assistant Sessions Judge under the Code of Criminal Procedure, 1973 (2 of 1974).
4. Cases triable by special Judges.—(1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), or in any other law for the time being in force, the offences specified in sub-section (1) of section 3 shall be tried by special Judges only.
[4][(4) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), the trial of an offence shall be held, as far as practicable, on day-to-day basis and an endeavour shall be made to ensure that the said trial is concluded within a period of two years:
Provided that where the trial is not concluded within the said period, the special Judge shall record the reasons for not having done so:
Provided further that the said period may be extended by such further period, for reasons to be recorded in writing but not exceeding six months at a time; so, however, that the said period together with such extended period shall not exceed ordinarily four years in aggregate.]
5. Procedure and powers of special Judge.—(1) A special Judge may take cognizance of offences without the accused being committed to him for trial and, in trying the accused persons, shall follow the procedure prescribed by the Code of Criminal Procedure, 1973 (2 of 1974), for the trial of warrant cases by Magistrates.
6. Power to try summarily.—(1) Where a special Judge tries any offence specified in sub-section (1) of section 3, alleged to have been committed by a public servant in relation to the contravention of any special order referred to in sub-section (1) of section 12A of the Essential Commodities Act, 1955 (10 of 1955) or of an order referred to in clause (a) of sub-section (2) of that section, then, notwithstanding anything contained in sub-section (1) of section 5 of this Act or section 260 of the Code of Criminal Procedure, 1973 (2 of 1974), the special Judge shall try the offence in a summary way, and the provisions of sections 262 to 265 (both inclusive) of the said Code shall, as far as may be, apply to such trial:
Provided that, in the case of any conviction in a summary trial under this section, it shall be lawful for the special Judge to pass a sentence of imprisonment for a term not exceeding one year:
Provided further that when at the commencement of, or in the course of, a summary trial under this section, it appears to the special Judge that the nature of the case is such that a sentence of imprisonment for a term exceeding one year may have to be passed or that it is, for any other reason, undesirable to try the case summarily, the special Judge shall, after hearing the parties, record an order to that effect and thereafter recall any witnesses who may have been examined and proceed to hear or re-hear the case in accordance with the procedure prescribed by the said Code for the trial of warrant cases by Magistrates.
(2) Notwithstanding anything to the contrary contained in this Act or in the Code of Criminal Procedure, 1973 (2 of 1974), there shall be no appeal by a convicted person in any case tried summarily under this section in which the special Judge passes a sentence of imprisonment not exceeding one month, and of fine not exceeding two thousand rupees whether or not any order under section 452 of the said Code is made in addition to such sentence, but an appeal shall lie where any sentence in excess of the aforesaid limits is passed by the special Judge.
CHAPTER III
OFFENCES AND PENALTIES
[5][7. Offence relating to public servant being bribed.—Any public servant who,—
shall be punishable with imprisonment for a term which shall not be less than three years but which may extend to seven years and shall also be liable to fine.
Explanation 1.—For the purpose of this section, the obtaining, accepting, or the attempting to obtain an undue advantage shall itself constitute an offence even if the performance of a public duty by public servant, is not or has not been improper.
Illustration.—A public servant, ‘S’ asks a person, ‘P’ to give him an amount of five thousand rupees to process his routine ration card application on time. 'S' is guilty of an offence under this section. Explanation 2.—For the purpose of this section,—
7A. Taking undue advantage to influence public servant by corrupt or illegal means or by exercise of personal influence.—Whoever accepts or obtains or attempts to obtain from another person for himself or for any other person any undue advantage as a motive or reward to induce a public servant, by corrupt or illegal means or by exercise of his personal influence to perform or to cause performance of a public duty improperly or dishonestly or to forbear or to cause to forbear such public duty by such public servant or by another public servant, shall be punishable with imprisonment for a term which shall not be less than three years but which may extend to seven years and shall also be liable to fine.
8. Offence relating to bribing of a public servant.—(1) Any person who gives or promises to give an undue advantage to another person or persons, with intention— (i) to induce a public servant to perform improperly a public duty; or
(ii) to reward such public servant for the improper performance of public duty, shall be punishable with imprisonment for a term which may extend to seven years or with fine or with both:
Provided that the provisions of this section shall not apply where a person is compelled to give such undue advantage:
Provided further that the person so compelled shall report the matter to the law enforcement authority or investigating agency within a period of seven days from the date of giving such undue advantage:
Provided also that when the offence under this section has been committeed by commercial organisation, such commercial organisation shall be punishable with fine.
Illustration.—A person, ‘P’ gives a public servant, ‘S’ an amount of ten thousand rupees to ensure that he is granted a license, over all the other bidders. ‘P’ is guilty of an offence under this sub-section.
Explanation.—It shall be immaterial whether the person to whom an undue advantage is given or promised to be given is the same person as the person who is to perform, or has performed, the public duty concerned, and, it shall also be immaterial whether such undue advantage is given or promised to be given by the person directly or through a third party.
(2) Nothing in sub-section (1) shall apply to a person, if that person, after informing a law enforcement authority or investigating agency, gives or promises to give any undue advantage to another person in order to assist such law enforcement authority or investigating agency in its investigation of the offence alleged against the latter.
9. Offence relating to bribing a public servant by a commercial organisation.—(1) Where an offence under this Act has been committed by a commercial organisation, such organisation shall be punishable with fine, if any person associated with such commercial organisation gives or promises to give any undue advantage to a public servant intending—
Provided that it shall be a defence for the commercial organisation to prove that it had in place adequate procedures in compliance of such guidelines as may be prescribed to prevent persons associated with it from undertaking such conduct.
(a) “commercial organisation” means—
Explanation 1.—The capacity in which the person performs services for or on behalf of the commercial organisation shall not matter irrespective of whether such person is employee or agent or subsidiary of such commercial organisation.
Explanation 2.—Whether or not the person is a person who performs services for or on behalf of the commercial organisation is to be determined by reference to all the relevant circumstances and not merely by reference to the nature of the relationship between such person and the commercial organisation.
Explanation 3.—If the person is an employee of the commercial organisation, it shall be presumed unless the contrary is proved that such person is a person who has performed services for or on behalf of the commercial organisation.
Explanation.—For the purposes of this section, ‘‘director’’, in relation to a firm means a partner in the firm.]
[9][12. Punishment for abetment of offences.—Whoever abets any offence punishable under this Act, whether or not that offence is committed in consequence of that abetment, shall be punishable with imprisonment for a term which shall not be less than three years, but which may extend to seven years and shall also be liable to fine.]
13. Criminal misconduct by a public servant.—[10][(1) A public servant is said to commit the offence of criminal misconduct,—
Explanation 1.—A person shall be presumed to have intentionally enriched himself illicitly if he or any person on his behalf, is in possession of or has, at any time during the period of his office, been in possession of pecuniary resources or property disproportionate to his known sources of income which the public servant cannot satisfactorily account for.
Explanation 2.—The expression ‘‘known sources of income’’ means income received from any lawful sources.]
(2) Any public servant who commits criminal misconduct shall be punishable with imprisonment for a term which shall be not less than [11][four years] but which may extend to [12][ten years] and shall also be liable to fine.
[13][14. Punishment for habitual offender.—Whoever convicted of an offence under this Act subsequently commits an offence punishable under this Act, shall be punishable with imprisonment for a term which shall not be less than five years but which may extend to ten years and shall also be liable to fine.]
CHAPTER IV
INVESTIGATION INTO CASES UNDER THE ACT
Criminal Procedure, 1973 (2 of 1974), no police officer below the rank,—
Procedure, 1973 (2 of 1974), of an Assistant Commissioner of Police;
Provided that if a police officer not below the rank of an Inspector of Police is authorised by the State Government in this behalf by general or special order, he may also investigate any such offence without the order of a Metropolitan Magistrate or a Magistrate of the first class, as the case may be, or make arrest therefor without a warrant:
Provided further that an offence referred to in [18][clause (b) of sub-section (1)] of section 13 shall not be investigated without the order of a police officer not below the rank of a Superintendent of Police.
[19][17A. Enquiry or Inquiry or investigation of offences relatable to recommendations made or decision taken by public servant in discharge of official functions or duties.—No police officer shall conduct any enquiry or inquiry or investigation into any offence alleged to have been committed by a public servant under this Act, where the alleged offence is relatable to any recommendation made or decision taken by such public servant in discharge of his official functions or duties, without the previous approval—
Provided that no such approval shall be necessary for cases involving arrest of a person on the spot on the charge of accepting or attempting to accept any undue advantage for himself or for any other person:
Provided further that the concerned authority shall convey its decision under this section within a period of three months, which may, for reasons to be recorded in writing by such authority, be extended by a further period of one month.]
STATE AMENDMENT
Union Territory of Jammu and Kashmir and Union Territory of Ladakh
Insertion of section 17B.—After section 17A, insert the following section, namely:—
17B. Establishment of Anti-Corruption Bureau for the Union territory of Jammu and Kashmir.—(1) Notwithstanding anything contained in this Act, the Government of Union territory of Jammu and Kashmir shall, by notification in the Official Gazette, establish a Bureau for investigation of offences under this Act under the name of ‘Anti-Corruption Bureau’.
Provided that till qualification of officers (other than the Director) is prescribed by the Government of Union Territory of Jammu and Kashmir, the rules notified by the Government in this regard under the Prevention of Corruption Act, Samvat, 2006 (now repealed) shall continue to govern the qualification of such officers.
Explanation:—The Anti-Corruption Bureau established under the Prevention of Corruption Act,
Samvat, 2006 (now repealed) shall deemed to be Anti-Corruption Bureau established under the provisions of this Act, as if the same has been established under the provisions of this Act and any reference to the Anti-Corruption Bureau in any law, order, notification or rules in force in the Union Territory of Jammu and Kashmir shall be construed to mean the Anti-Corruption Bureau established under the provisions of this Act.
Insertion of section 17C to 17G.—After section 17A, insert the following sections, namely:—
17C. Powers of attachment of property.—(1) If an officer (not below the rank of Deputy Superintendent of Police) of the Anti-Corruption Bureau, investigating an offence committed under this Act, has reason to believe that any property in relation to which an investigation is being conducted has been acquired by resorting to such acts of omission and commission which constitute an offence of
‘criminal misconduct’ as defined under section 5, he shall, with the prior approval in writing of the Director of the Anti-Corruption Bureau, make an order seizing such property and, where it is not practicable to seize such property, make an order of attachment directing that such property shall not be transferred or otherwise dealt with, except with the prior permission of the officer making such order or of the Designated Authority to be notified by the Government of Union territory of Jammu and Kashmir before whom the properties seized or attached are produced and a copy of such order shall be served on the person concerned:
Provided that the Investigating Officer may, at any stage of investigation after registration of F.I.R. in respect of any case under the Act where he has reason to believe that such property is likely to be transferred or otherwise dealt with to defeat the prosecution of the case direct that such property shall not be transferred or dealt with for such period, not exceeding ninety days, as may be specified in the order except with the prior approval of the Designated Authority.
Explanation.—For the purposes of this section, “attachment” shall include temporarily assuming the custody, possession and/or control of such property].
Provided that an opportunity of being heard shall be afforded to the Investigating Officer and the person whose property is being attached or seized before making any order under this sub-section:
Provided further that till disposal of the case the Designated Authority shall ensure the safety and protection of such property.
17D. Appeal against the order of Designated Authority.―(1) Any person aggrieved by an order made by the Designated Authority under sub-section (3) or sub-section (5) of section 17C may prefer an appeal, within one month from the date of receipt of the order, to the Special Judge and the Special Court may either confirm the order of attachment of property or seizure so made or revoke such order and release the property or pass such order as it may deem just and proper within a period of sixty days.
17E. Issue of show-cause notice before forfeiture of the property.—No order under sub-section (2) of section 17D shall be made by the Special Court—
17F. Appeal.—(1) Any person aggrieved by order of the Special Court under section 17D may within one month from the date of the receipt of such order, appeal to the High Court of Jammu and Kashmir.
(2) Where any order under section 17D is modified or annulled by the High Court or where in a prosecution instituted for the contravention of the provisions of this Act, the person against whom an order of the special court has been made is acquitted, such property shall be returned to him and in either case if it is not possible for any reason to return the forfeited property, such person shall be paid the price therefor as if the property had been sold to the Government with reasonable interest calculated from the date of seizure of the property and such price shall be determined in the manner prescribed.
17G. Order of forfeiture not to interfere with other punishments.—The order of forfeiture made under this Act by the Special Court, shall not prevent the infliction of any other punishment to which the person affected thereby is liable under this Act.]
[Vide the Jammu and Kashmir Reorganization (Adaptation of Central Laws) Order, 2020, notification No. S.O. 1123(E) dated (18-3-2020).]
18. Power to inspect bankers’ books.—If from information received or otherwise, a police officer has reason to suspect the commission of an offence which he is empowered to investigate under section 17 and considers that for the purpose of investigation or inquiry into such offence, it is necessary to inspect any bankers’ books, then, notwithstanding anything contained in any law for the time being in force, he may inspect any bankers’ books in so far as they relate to the accounts of the persons suspected to have committed that offence or of any other person suspected to be holding money on behalf of such person, and take or cause to be taken certified copies of the relevant entries therefrom, and the bank concerned shall be bound to assist the police officer in the exercise of his powers under this section:
Provided that no power under this section in relation to the accounts of any person shall be exercised by a police officer below the rank of a Superintendent of Police, unless he is specially authorised in this behalf by a police officer of or above the rank of a Superintendent of Police.
Explanation.—In this section, the expressions “bank” and “bankers’ books” shall have the meanings respectively assigned to them in the Bankers’ Books Evidence Act, 1891 (18 of 1891).
[20][CHAPTER IVA
18A. Provisions of Criminal Law Amendment Ordinance, 1944 to apply to attachment under this Act.—(1) Save as otherwise provided under the Prevention of Money Laundering Act, 2002 (15 of 2003), the provisions of the Criminal Law Amendment Ordinance, 1944 (Ord. 38 of 1944) shall, as far as may be, apply to the attachment, administration of attached property and execution of order of attachment or confiscation of money or property procured by means of an offence under this Act.
(2) For the purposes of this Act, the provisions of the Criminal Law Amendment Ordinance, 1944
(Ord. 38 of 1944) shall have effect, subject to the modification that the references to “District Judge” shall be construed as references to “Special Judge”.]
CHAPTER V
19. Previous sanction necessary for prosecution.—(1) No court shall take cognizance of an offence punishable under [21][sections 7, 11, 13 and 15] alleged to have been committed by a public servant, except with the previous sanction [22][save as otherwise provided in the Lokpal and Lokayuktas Act, 2013 (1 of 2014)]—
[24][Provided that no request can be made, by a person other than a police officer or an officer of an investigation agency or other law enforcement authority, to the appropriate Government or competent authority, as the case may be, for the previous sanction of such Government or authority for taking cognizance by the court of any of the offences specified in this sub-section, unless—
Provided further that in the case of request from the person other than a police officer or an officer of an investigation agency or other law enforcement authority, the appropriate Government or competent authority shall not accord sanction to prosecute a public servant without providing an opportunity of being heard to the concerned public servant:
Provided also that the appropriate Government or any competent authority shall, after the receipt of the proposal requiring sanction for prosecution of a public servant under this sub-section, endeavour to convey the decision on such proposal within a period of three months from the date of its receipt:
Provided also that in case where, for the purpose of grant of sanction for prosecution, legal consultation is required, such period may, for the reasons to be recorded in writing, be extended by a further period of one month:
Provided also that the Central Government may, for the purpose of sanction for prosecution of a public servant, prescribe such guidelines as it considers necessary.
Explanation.—For the purposes of sub-section (1), the expression “public servant” includes such person—
[25][20. Presumption where public servant accepts any undue advantage.—Where, in any trial of an offence punishable under section 7 or under section 11, it is proved that a public servant accused of an offence has accepted or obtained or attempted to obtain for himself, or for any other person, any undue advantage from any person, it shall be presumed, unless the contrary is proved, that he accepted or obtained or attempted to obtain that undue advantage, as a motive or reward under section 7 for performing or to cause performance of a public duty improperly or dishonestly either by himself or by another public servant or, as the case may be, any undue advantage without consideration or for a consideration which he knows to be inadequate under section 11.]
“Provided also that the proceeding shall not be adjourned or postponed merely on the ground that an application under section 397 has been made by a party to the proceeding.”;
“(3) Notwithstanding anything contained in sub-section (1) or sub-section (2), the Judge may, if he thinks fit and for reasons to be recorded by him, proceed with inquiry or trial in the absence of the accused or his pleader and record the evidence of any witness subject to the right of the accused to recall the witness for cross-examination.”;
“Provided that where the powers under this section are exercised by a Court on an application made by a party to such proceedings, the Court shall not ordinarily call for the record of the proceedings:—
Provided that the time included between the first and last of such dates shall not exceed one year.
[24. Statement by bribe giver not to subject him to prosecution.] Omitted by the Prevention of Corruption (Amendment) Act, 2018 (16 of 2018), s. 17 (w.e.f. 26-7-2018).
25. Military, Naval and Air Force or other law not to be affected.—(1) Nothing in this Act shall affect the jurisdiction exercisable by, or the procedure applicable to, any court or other authority under the Army Act, 1950 (45 of 1950), the Air Force Act, 1950 (46 of 1950), the Navy Act, 1957 (62 of 1957), the Border Security Force Act, 1968 (47 of 1968), the Coast Guard Act, 1978 (30 of 1978) and the National Security Guard Act, 1986 (47 of 1986).
(2) For the removal of doubts, it is hereby declared that for the purposes of any such law as is referred to in sub-section (1), the court of a special Judge shall be deemed to be a court of ordinary criminal justice.
1944,—
(i) paragraph 1 shall be omitted; (ii) in paragraphs 2 and 4,—
“4A.An offence punishable under the Prevention of Corruption Act, 1988.”;
[28][29A. Power to make rules.—(1) The Central Government may, by notification in the Official Gazette, make rules for carrying out the provisions of this Act.
30. Repeal and saving.—(1) The Prevention of Corruption Act, 1947 (2 of 1947) and the Criminal Law Amendment Act, 1952 (46 of 1952) are hereby repealed.
(2) Notwithstanding such repeal, but without prejudice to the application of section 6 of the General Clauses Act, 1897 (10 of 1897), anything done or any action taken or purported to have been done or taken under or in pursuance of the Acts so repealed shall, in so far as it is not inconsistent with the provisions of this Act, be deemed to have been done or taken under or in pursuance of the corresponding provision of this Act.
31. [Omission of certain sections of Act 45 of 1860.]—Rep. by the Repealing and Amending Act, 2001(30 of 2001), s.2 and the First Schedule (w.e.f. 3-9-2001).
[1] . The words “except the State of Jammu and Kashmir” omitted by Act 34 of 2019, s. 95 and the Fifth Schedule (w.e.f. 31-10-2019).
[2] . Ins. by Act 16 of 2018, s. 2 (w.e.f. 26-7-2018).
[3] . Ins. by Act 16 of 2018, s. 2 (w.e.f. 26-7-2018).
[4] . Subs. by Act 16 of 2018, s. 3, for sub-section (4) (w.e.f. 26-7-2018).
[5] . Subs. by Act 16 of 2018, s. 4, for sections 7, 8, 9 and 10 (w.e.f. 26-7-2018).
[6] . Subs. by Act 16 of 2018, s. 5, for “valuable thing” (w.e.f. 26-7-2018).
[7] . The words “or agrees to accept” omitted by s. 5, ibid. (we.f. 26-7-2018).
[8] . Subs. by s. 5, ibid., for “official functions” (w.e.f. 26-7-2018).
[9] . Subs. by s. 6, ibid., for section 12 (w.e.f. 26-7-2018).
[10] . Subs. by Act 16 of 2018, s. 7, for sub-section (1) (w.e.f. 26-7-2018).
[11] . Subs. by Act 1 of 2014, s. 58 and the Sch., for “one year” (w.e.f. 16-1-2014).
[12] . Subs. by s. 58 and the Sch., ibid., for “seven years” (w.e.f. 16-1-2014).
[13] . Subs. by Act 16 of 2018, s. 8, for section 14 (w.e.f. 26-7-2018).
[14] . Subs. by s. 9, ibid., for “clause (c) or clause (d)” (w.e.f. 26-7-2018).
[15] . Subs. by Act 1 of 2014, s. 58 and the Sch., for “which may extend to three years” (w.e.f. 16-1-2014).
[16] . Subs. by Act 16 of 2018, s. 10, for “sub-section (2) of section 13 or section 14”(w.e.f. 26-7-2018).
[17] . Subs. by s. 10, ibid., for “clause (e)” (w.e.f. 26-7-2018).
[18] . Subs. by Act 16 of 2018, s. 11, for “clause (e) of sub-section (1)” (w.e.f. 26-7-2018).
[19] . Ins. by s. 12, ibid. (w.e.f. 26-7-2018).
[20] . Ins. by Act 16 of 2018, s. 13 (w.e.f. 26-7-2018).
[21] . Subs. by s. 14, ibid., for “sections 7, 10, 11, 13 and 15” (w.e.f. 26-7-2018).
[22] . Ins. by Act 1 of 2014, s. 58 and the Schedule (w.e.f. 16-1-2014).
[23] . Subs. by Act 16 of 2018, s. 14, for “who is employed” (w.e.f. 26-7-2018).
[24] . Ins. by s. 14, ibid. (w.e.f. 26-7-2018).
[25] . Subs. by Act 16 of 2018, s. 15, for section 20 (w.e.f. 26-7-2018).
[26] . Subs. by Act 16 of 2018, s. 16, for “section 13(1) (c)” (w.e.f. 26-7-2018).
[27] . Subs. by s. 16, ibid., for “clause (c)”(w.e.f. 26-7-2018).
[28] . Ins. by Act 16 of 2018, s. 18 (w.e.f. 26-7-2018).