According to Section 489C:- Whoever has in his possession any forged or counterfeit currency-note or bank-note, knowing or having reason to believe the same to be forged or counterfeit and intending to use the same as genuine or that it may be used as genuine, shall be punished with imprisonment of either description for a term which may extend to seven years, or with fine, or with both.
Classification of Offence
| Offence Description | Punishment provided | Cognizable/Non-Cognizable |
|---|---|---|
| Possession of forged or counterfeit currency notes or bank notes | Imprisonment for 7 years, or fine, or both | Cognizable |
| Bailable/Non-Bailable | Trial Court Details | Compoundable/Non-Compoundable |
| Bailable | Court of Session | Non-Compoundable |
| Compoundable by Whom | Concerned Ministry | Concerned Department |
| Non-Compoundable | Ministry of Home Affairs | Department of Internal Security |
489C IPC Case Laws (Supreme Court and HC)
| Umashanker vs State Of Chhattisgarh on 5 October, 2001 |
| Dipakbhai Jagdishchndra Patel vs The State Of Gujarat on 24 April, 2019 |
| State Of Kerala vs Mathal Verghese & Ors on 19 November, 1986 |
| K. Hashim vs State Of Tamil Nadu on 17 November, 2004 |
| Mehboob Ali & Anr vs State Of Rajasthan on 27 October, 2015 |
| State Of Maharashtra vs Mrs. Bharati Chandmal Varma @ on 4 December, 2001 |
| Samir Mustafabhai Bajariya vs State Of Gujarat on 26 April, 2013 |
FAQs about Section 489C – Possession of Forged or Counterfeit Currency Notes or Bank Notes
Section 489C is a provision in the law that deals with the possession of forged or counterfeit currency notes or bank notes. If someone knowingly possesses such currency and intends to use it as genuine or believes that it may be used as genuine, they can be charged under this section.
The punishment for possessing forged or counterfeit currency notes under Section 489C can include imprisonment for a term of up to seven years, or a fine, or both.
Yes, the offence of possessing counterfeit currency is considered serious because it can undermine the stability of the economy and cause financial harm to individuals and businesses. As a result, it is punishable with a significant term of imprisonment.
This offence is classified as a cognizable offence. A cognizable offence allows the police to make an arrest without a warrant and conduct an investigation without needing permission from the court.
Read also:- IPC Section 477A: Falsification of accounts
IPC Section 489C: Possession of forged or counterfeit currency notes or bank notes,IPC Section 489C: Possession of forged or counterfeit currency notes or bank notes
