Proceeds of Crime Act 2025 · As enacted · Part VII · Civil Remedy For Victims Of Crime
129. Cause of action to recover the pecuniary, sentimental, or other loss or damage suffered by a party from an unlawful activity
Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.
Official translationFrom Department of Government Printing, unchanged
Where any person has committed an unlawful activity and such activity has resulted directly or indirectly in pecuniary, sentimental or other loss or deprivation of any benefit, service or other entitlement, the party adversely affected by such unlawful activity, any other person being so affected including the state shall be entitled to recover the pecuniary, sentimental, or other loss or damage suffered by such party.
A plaintiff claiming damages and compensation founded upon the cause of action referred to in the subsection (1) shall institute civil action in the relevant District Court and shall be required to establish his case by proving the ingredients of the offence which constitute the relevant unlawful activity on a balance of probabilities.
For the purpose of successfully prosecuting a civil action founded upon the cause of action referred to above, it shall not be necessary for the plaintiff to establish that defendant has been convicted of having committed unlawful activity or that the proceeds of the unlawful activity have been traced, identified or recovered.
The entitlement to institute civil proceedings founded upon the cause of action referred to above shall be independent of any criminal investigation, criminal prosecution or the outcome thereof.
Illustration
X who is the accountant of a company commits criminal breach of trust and with the proceeds of such unlawful activity purchases a motor vehicle.
The company complaints to the Police. The Police may or may not commence taking action against X in terms of this Act and other provisions of the law.
Independent of the action taken or otherwise by the
Police and or the institution of criminal proceedings against X, the company shall be entitled to institute civil action against X invoking the afore-stated cause of action for the purpose of recovering pecuniary loss suffered by it as a result of the committing of the afore-stated unlawful activity.
X commits the offence of corruption with regard to funds allocated for a particular public purpose.
This results in reduction of funds available for the afore-stated public purpose by a specific amount or percentage. Consequentially the reduction in the benefit to the community for whose benefit the public purpose was to be given effect to is calculated either in monetary terms or in a quantified reduction of the scheduled public purpose. Thus, those who have suffered pecuniary or sentimental loss, deprivation of the envisaged service, facility, or benefit as a result of the unlawful activity carried out by X, shall be entitled to sue X either jointly or severally for the purpose of obtaining damages or compensation to commensurate the loss or damage suffered.
X commits an act of corruption which does not result in personal financial gain to him. Notwithstanding X not having personally gained from the committing of such unlawful activity, any party adversely affected by such unlawful activity shall be entitled to sue X, to recover pecuniary or sentimental loss directly or indirectly suffered by them as a result of the afore-stated unlawful activity.
An action under this Part of this Act for loss or damages, shall be instituted in accordance with the provisions of the
Civil Procedure Code and such action shall be procedurally governed by the provisions of that Code.
Where more than one person has suffered loss or damages due to an unlawful activity committed by another person as referred to in subsection (1) -
either one or more of such persons, or
an incorporated or unincorporated body representing such persons, who have suffered loss or damages due to such unlawful activity may with the consent of such of the persons being represented as those having suffered loss or damages, institute proceedings in terms of this Part for the purpose of recovering damages or compensation in respect of loss suffered by such parties as a result of the committing of the unlawful activity.
Unless the evidence of a person who is knowledgeable and specially skilled with regard to pecuniary and sentimental loss suffered by the plaintiff as a result of the committing of the unlawful activity is presented to court by the plaintiff, the court may at its discretion call one or more such persons who is knowledgeable and specially skilled for the purpose of assisting court regarding the determination of loss or damages suffered by the plaintiff or parties being represented by such plaintiff.
Notwithstanding anything to the contrary in the
Prescription Ordinance (Chapter 68), an action in terms of this Part shall be instituted within three years from the date on which the plaintiff became aware of the committing of an unlawful activity which resulted in loss or damage suffered by such plaintiff.
The provisions of this Part shall be in addition to and not in derogation of any right or remedy provided by any other Part of this Act, and any other written or unwritten law.
In an action filed under this Part, the Court shall in computing the award of compensation or damages, take into consideration any other interim or final payments already received or any other relief obtained by the plaintiff or other affected parties on whose behalf the action has been filed by the plaintiff.
Part VIII
Disposal Of Forfeited Proceeds Of Crime And The Utilization Of The Value Derived Thereof
Part IX
Victims Of Crime Reparation Trust Fund
Part X
International Cooperation
Part XI