Indian criminal law | Currency and coin offences
IPC Section 238: Import or Export of Counterfeit Indian Coin - Current BNS Section 179
Section 238 of the Indian Penal Code, 1860 punished knowingly importing into India or exporting from India counterfeit Indian coins. Since 1 July 2024, Section 179 of the Bharatiya Nyaya Sanhita, 2023 (BNS) governs the corresponding conduct within a wider counterfeiting framework.
IPC Section 238 and BNS Section 179 at a glance
| Historical law | Indian Penal Code, 1860, Section 238 |
|---|---|
| Present law | Bharatiya Nyaya Sanhita, 2023, Section 179 |
| Conduct | Importing into or exporting from India specified counterfeit instruments |
| Required mental element | Knowledge or reason to believe that the item is counterfeit |
| Punishment under BNS 179 | Life imprisonment or imprisonment of either description up to ten years, and fine |
| Procedure | Cognizable; non-bailable; triable by Court of Session (BNSS First Schedule) |
| Commencement of BNS | 1 July 2024, subject to savings for earlier matters |
Historical text and meaning of IPC Section 238
Under IPC Section 238, whoever imported into India, or exported from India, a counterfeit coin knowing or having reason to believe that it was a counterfeit of Indian coin was punishable with imprisonment for life or imprisonment of either description for a term up to ten years, and was also liable to fine.
The original section distinguished counterfeits of Indian coin from the broader category of counterfeit coin addressed in former IPC Section 237. Its maximum punishment was accordingly more severe than the three-year maximum formerly stated in IPC Section 237. These distinctions are historical; current cases should be assessed under the BNS.
Current law: BNS Section 179 explained
Section 179 of the Bharatiya Nyaya Sanhita, 2023 criminalises importing into India or exporting from India a counterfeit coin, Government stamp, currency-note or bank-note, where the person knows or has reason to believe that it is counterfeit.
The present section is broader than the former Indian-coin-only wording. The applicable law does not require a separate offence exclusively titled "import or export of counterfeit Indian coin" to prosecute conduct falling within Section 179.
Essential ingredients of the offence
- Import or export: The accused brings the relevant counterfeit item into India or sends it out of India.
- Counterfeit character: The item is counterfeit within the applicable BNS provisions.
- Knowledge or reason to believe: The accused knows, or has legally sufficient reason to believe, that the item is counterfeit.
- Proof: Evidence must connect the accused with the prohibited import or export and establish the required mental element.
Important statutory expressions
Coin
Explanation (2) to BNS Section 178 uses the definition in Section 2 of the Coinage Act, 2011 and also includes certain metal used as money, stamped and issued by or under the authority of a State or Sovereign Power.
Counterfeit
The BNS definition of counterfeiting and the specific explanations to Section 178 inform whether a coin or other covered instrument is counterfeit. The assessment is based on the item's characteristics and the statutory test, not simply its appearance or age.
Knowledge or reason to believe
Actual awareness is one route to establishing the mental element. "Reason to believe" requires sufficient cause for the belief; mere suspicion, without supporting facts, should not be treated as automatically satisfying the provision. The evidence in each case matters.
Punishment, bail and trial
Punishment: Under BNS Section 179, imprisonment for life or imprisonment of either description up to ten years, together with a fine. A court determines sentence according to the applicable law and proved circumstances.
Procedural classification: The Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS), First Schedule classifies the offence as cognizable, non-bailable and triable by a Court of Session. Non-bailable does not mean bail is impossible; it means bail is not available as an automatic right merely by reason of classification.
Practical illustrations
- Knowingly importing fake rupee coins: A person who arranges a shipment of imitation Indian coins, knowing they are counterfeit, may fall within BNS Section 179.
- Exporting counterfeit coins: Sending counterfeit coins out of India with the requisite knowledge can attract the same provision.
- Genuine collector's coin: Importing an authentic old coin does not itself establish counterfeiting merely because it is not currently in circulation; separate customs or trade rules may still apply.
- Unknowing carriage: A courier who genuinely lacks knowledge or reason to believe that sealed goods contain counterfeit coins presents a different evidentiary question from a knowing participant.
Related counterfeiting offences
BNS Section 178 deals with counterfeiting coin, Government stamps, currency-notes and bank-notes. BNS Section 180 concerns using as genuine, or trafficking in, counterfeit items with the relevant knowledge. BNS Section 181 addresses instruments or materials used for counterfeiting. The appropriate charge depends on the conduct alleged and evidence available.
Application after the IPC was replaced
The BNS commenced on 1 July 2024. The repeal and savings provision in BNS Section 358 must be considered for conduct, liabilities and proceedings arising before commencement. A page bearing the historical title "IPC Section 238" is retained here for legal research and navigation; it should not be read as saying the repealed IPC remains the ordinary charging statute for new conduct.
Official legal sources
- India Code - Bharatiya Nyaya Sanhita, 2023, Sections 178, 179, 180, 181 and 358.
- India Code - Bharatiya Nagarik Suraksha Sanhita, 2023, First Schedule.
- India Code - official legislation database.
Frequently asked questions
What did IPC Section 238 prohibit?
It punished importing into or exporting from India a counterfeit of an Indian coin, when the person knew or had reason to believe it was counterfeit.
Which current BNS section covers import or export of counterfeit Indian coins?
Section 179 of the Bharatiya Nyaya Sanhita, 2023 covers import or export of counterfeit coins and certain other counterfeit monetary instruments.
What is the punishment under BNS Section 179?
Imprisonment for life or imprisonment of either description for a term extending to ten years, and a fine.
Is mere import of an unusual coin automatically an offence?
No. The prosecution must establish that the item falls within the relevant counterfeit category and that the accused knew or had reason to believe it was counterfeit.
Does BNS Section 179 cover counterfeit banknotes?
Yes. The provision also addresses counterfeit Government stamps, currency-notes and bank-notes.
Is the offence cognizable and bailable?
The offence under BNS Section 179 is classified as cognizable and non-bailable under the BNSS First Schedule, and is triable by a Court of Session.
Does IPC Section 238 still govern conduct after 1 July 2024?
The BNS applies to relevant conduct from its commencement on 1 July 2024. Earlier acts and proceedings require consideration of repeal and savings provisions.
Is a genuine old coin a counterfeit coin?
Not simply because it is old or out of circulation. Whether an item is counterfeit depends on its authenticity and the statutory elements.
This article is general legal information, not advice on a particular case. Check current official legislation, notifications and case-specific facts before relying on it.