BNS Section 180 – Possession of forged or counterfeit coin, Government stamp, currency-notes or bank-notes

The Indian Penal Code (IPC) Section – 242,252,253,259,489C

Possession of Forged or Counterfeit Coin, Government Stamp, Currency-Notes, or Bank-Notes

Legal Provision:

Under the law, anyone who possesses forged or counterfeit coins, government stamps, currency-notes, or bank-notes—while knowing or having reason to believe they are counterfeit—and intends to use them as genuine, or allow them to be used as genuine, is subject to severe punishment.

Key Points:

1. Offense of Possession:

• This section deals with individuals who possess forged or counterfeit items, such as:
  • Coins
  • Government stamps (used for revenue purposes)
  • Currency notes or bank-notes.
• The offense is committed if the individual:
  • Knows or has reason to believe that the items are counterfeit or forged.
  • Intends to use these items as genuine, or allows others to use them as genuine.

2. Intention to Use or Circulate:

• The individual must have the intent to:
  • Use the counterfeit items as if they were genuine.
  • Facilitate or allow others to use them as genuine.
• Possession alone is not sufficient for prosecution. There must be clear intent to defraud or use these items in a fraudulent manner.

3. Punishment:

• The punishment for this offense includes:
  • Imprisonment (either rigorous or simple) for a term that may extend to seven years.
  • A fine, or both imprisonment and fine can be imposed, depending on the severity of the case.

4. Elements of the Crime:

5. What Constitutes Forged or Counterfeit:

• Forged: Items that are fraudulently created or altered to make them appear genuine.
• Counterfeit: Items that imitate genuine items but are fake, often with the intent to deceive others.

6. Protection of Economic and Revenue Systems:

• This law is designed to protect the integrity of currency systems and government revenue.
• It ensures that the possession and use of counterfeit currency or stamps does not undermine the economy or public trust in financial systems.
• The law acts as a deterrent against the illegal circulation of counterfeit money or government stamps, which can lead to significant economic harm.

7. Scope:

• The section applies to any individual found in possession of counterfeit currency, whether Indian or foreign, or stamps issued for revenue purposes.
• Reason to believe means that there are circumstantial clues or red flags that should have made the individual aware of the items’ counterfeit nature.

Legal Classification:

This section is an important legal provision designed to prevent the illegal circulation of counterfeit money and government-issued stamps. By penalizing those in possession of such items with severe penalties, it helps protect the economy and revenue systems, maintaining the integrity of financial transactions and public trust.