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The Cabinet is expected to clear the redrafted Public Interest Disclosure (Protection of Informers) Bill, 2010 on Thursday.
The bill gives sweeping powers to the Central Vigilance Commission to protect whistleblowers from any disciplinary action for exposing corruption in a government department.
Revealing the identity of a whistleblower can invite up to three years in jail and a fine of up to Rs 50,000.
The bill also proposes that no court can interfere in the case and can have any powers over the decision made the CVC.
The Bill, if cleared by the Cabinet and thereafter passed by Parliament, will go a long way in helping those who make public interest disclosures.
The proposed law comes in the wake of the murder of Right to Information activist Amit Jethwa in Gujarat.