Abstract
In the fast-changing digital era, cyber-enabled money laundering has become a pressing threat to national security and financial integrity. The present research explores the efficacy of India’s existing legal regime to combat such offenses, with special emphasis on the interface between cyber laws and anti-money laundering (AML) controls. Taking a quantitative research framework, the data was gathered from 200 domain experts such as legal professionals, law enforcers, financial regulators, and cybersecurity professionals. Descriptive and inferential statistical methods were employed using SPSS to analyze perceptions of legal effectiveness, challenges in enforcement, and the necessity of reforms. Findings indicate that although India has put in place foundational cyber and AML legislation, their effectiveness in practice is moderate because of major enforcement challenges like jurisdictional uncertainties, technical competency gaps, and outdated legislative provisions. Regression analysis verified that these factors combined explain more than 62% of the variation in enforcement performance. Additionally, stakeholder reactions highlighted high endorsement of immediate legal reforms and international cooperation, contributing more than 65% to enforcement improvement through these factors. While the harmonization of AI and blockchain technologies was viewed optimistically, worries about implementation preparedness persist. This research contributes to the intensifying debate about digital financial regulation by highlighting the importance of a holistic, future-proof legal strategy that integrates reform, technology, and international collaboration. Future research recommendations include longitudinal research and further investigation into developing technologies such as DeFi and privacy-oriented digital assets.
Keywords: Anti-Money Laundering (AML), Artificial Intelligence, Block Chain, Cyber Law, Legal Enforcement, Money Laundering