The rapid proliferation of Artificial Intelligence technologies across various sectors in India has exposed significant gaps in the existing legal framework. While India aspires to become a global AI hub through strategic investments and policy initiatives, the absence of comprehensive AI-specific legislation raises critical questions about accountability, liability, data protection, and intellectual property rights. This article examines the current state of Indian laws concerning AI, analyzes key challenges, and evaluates the adequacy of existing legal mechanisms in addressing AI-related concerns.