To boost counterterrorism efforts, the Indian Parliament passed the Prevention of Terrorism Act of 2002 (POTA). The act was enacted in response to multiple terrorist attacks in India, particularly in retaliation for the attack on the Parliament. The act, which had the backing of the ruling National Democratic Alliance, replaced the Prevention of Terrorism Ordinance (POTO) of 2001 and the Terrorist and Disruptive Activities (Prevention) Act (TADA) (1985–1995). In 2004, the United Progressive Alliance coalition abolished the act. The act gave the designated investigating agencies special powers and defined what constituted a "terrorist act" and what a "terrorist" was. Several safeguards were inserted into the act to ensure that discretionary powers granted to the investigative authorities were not exploited and human rights breaches were not committed.
Numerous reports of law violations surfaced after the act went into effect. POTA was allegedly used indiscriminately to target political opponents. State law enforcement officials had detained 250 people nationally due to the act's enactment just four months after it was passed, and the figure was quickly rising. Only eight months later, over 940 people had been detained across seven states where POTA was in effect, and at least 560 were still jailed. Vaiko was one of many well-known people who were arrested due to the act.
According to Section 1(6) of the Act, the Act had an established expiration date of three years after it was enacted. The government planned to end on 24 October 2004 because it had started on 24 October 2001. One month before its expiry, the Prevention of Terrorism (Repeal) Ordinance, 2004 repealed the act on September 21, 2004, which was superseded by the Prevention of Terrorism (Repeal) Act, 2004 (assented to on December 21, 2004).
The POTA Act applies to every region of India. Any person found guilty in any part of India can be detained under this act.
A division bench of the relevant high court will consider the appeal. Any decision on bail petitions or the special courts' judgements under this act may be appealed.
Based on the type of offence, the punishment can be imprisonment for 2 years, 5 years, 10 years, or lifelong imprisonment with a fine.
According to the statute, a suspect could be held without being charged in court for up to 180 days. But a significant difference was made since, unlike TADA, this act did not include a clause allowing preventative detention.
An Indian residing outside of India also comes under this act.