Government Submits Bill to Enable Civil Forfeiture of Criminal Assets

The government has submitted a bill to the People’s Majlis seeking to establish a legal framework for the civil forfeiture of assets derived from criminal activities, with the aim of depriving offenders of financial gains obtained through serious crimes.

President Dr Mohamed Muizzu said the proposed legislation is intended to prevent perpetrators of serious offences from retaining or benefiting from assets acquired through illicit activities.

According to the government, the bill will establish the necessary legal mechanisms for the civil forfeiture of proceeds of crime to the state, providing authorities with a stronger basis to recover assets linked to criminal activity.

The government said the proposed law is also intended to serve as a deterrent by ensuring that individuals cannot ultimately benefit financially from serious criminal acts. By allowing illicitly acquired assets to be recovered, the legislation seeks to make financial gain less attractive as a motive for crime.

A key objective of the bill is to address existing legal difficulties surrounding the recovery of state funds and assets that have been misappropriated through serious crimes. The government has described the proposed framework as a long-term solution to these obstacles.

Civil forfeiture generally refers to the legal process through which property connected to unlawful activity can be forfeited to the state, separate from the criminal conviction of an individual. Such mechanisms are commonly used to target the financial proceeds of serious offences and prevent criminals from retaining the benefits of their activities.

If enacted, the proposed legislation would give the state a dedicated legal framework to pursue the recovery of assets believed to have been derived from criminal activities, strengthening the Maldives’ broader efforts to combat financial crime and recover public assets.

The bill will now undergo consideration and scrutiny by the People’s Majlis before it can become law.