Indian Criminal Law | Updated 30 October 2026
IPC Section 241: Delivery of Counterfeit Coin as Genuine
Section 241 of the Indian Penal Code, 1860, addressed a person who innocently received a counterfeit coin but subsequently discovered it was counterfeit and nevertheless passed it to another person as genuine. The IPC has since been repealed; the current law must be read under the Bharatiya Nyaya Sanhita, 2023.
What did IPC Section 241 provide?
Former Section 241 was titled "Delivery of coin as genuine, which, when first possessed, the deliverer did not know to be counterfeit." It applied when a person:
- received a counterfeit coin without knowing it was counterfeit;
- later learned that the coin was counterfeit; and
- delivered it as genuine, or attempted to persuade another person to accept it as genuine.
Under the former provision, the punishment was imprisonment of either description for up to two years, or a fine up to ten times the value of the coin counterfeited, or both.
Illustration under former IPC Section 241
The statutory illustration described A, a counterfeiter, passing counterfeit Company rupees to accomplice B. B sold them to C, who also knew they were counterfeit. C then passed the coins to D in exchange for goods. D initially accepted the coins without knowing they were counterfeit but, after discovering the truth, passed them on as genuine.
Under the historical IPC framework, D was punishable under Section 241, while B and C could be liable under Sections 239 or 240, depending on the circumstances. This is a historical illustration, not a statement of the punishment under the BNS.
Which BNS section now applies?
Section 179 BNS: Using counterfeit coin as genuine
Section 179 of the Bharatiya Nyaya Sanhita, 2023, covers importing, exporting, selling, delivering, buying, receiving, trafficking in, or otherwise using as genuine a forged or counterfeit coin, Government stamp, currency-note or bank-note, while knowing or having reason to believe it is forged or counterfeit.
The punishment under Section 179 is imprisonment for life, or imprisonment of either description for up to ten years, and liability to fine. Whether the section is made out depends on the evidence of the relevant act and the required knowledge or reason to believe.
Unlike former IPC Section 241, Section 179 does not prescribe a separate lesser punishment for a person who first obtained the coin innocently. Consequently, it would be inaccurate to describe Section 179 as a word-for-word replacement for Section 241.
Section 180 BNS: Possession of counterfeit coin
Section 180 separately addresses possession of a forged or counterfeit coin, stamp, currency-note or bank-note, with knowledge or reason to believe it is counterfeit and an intention to use it as genuine or to have it used as genuine. The punishment may extend to seven years' imprisonment, or fine, or both.
Its express explanation states that possession established to be from a lawful source does not constitute an offence under that section. This qualification concerns Section 180; it is not a blanket exemption for a later knowing delivery or use prohibited by Section 179.
IPC Section 241 and current BNS provisions compared
| Issue | Former IPC Section 241 | Current BNS law |
|---|---|---|
| Status | Repealed from 1 July 2024, subject to savings | BNS in force from 1 July 2024 |
| Conduct | Passing counterfeit coin as genuine after initially receiving it innocently | Section 179: knowingly or with reason to believe using or dealing in counterfeit coin as genuine |
| Punishment | Up to two years, or fine up to ten times the coin's value, or both | Section 179: life imprisonment or imprisonment up to ten years, and fine |
| Possession | Different IPC provisions addressed knowing possession | Section 180: up to seven years, or fine, or both, subject to its statutory explanation |
Important legal definitions and principles
Coin: Section 178 BNS adopts the meaning of coin under Section 2 of the Coinage Act, 2011, and includes qualifying metal money stamped and issued by or under the authority of a State or Sovereign Power.
Counterfeiting coin: Section 178 BNS includes deceptive alteration making a genuine coin appear to be a different coin, as well as diminishing weight or changing composition or appearance.
Knowledge or reason to believe: For Section 179, the prosecution must establish the mental element specified by the statute. Merely receiving a counterfeit coin without the requisite knowledge or reason to believe does not, by itself, establish the Section 179 offence.
Does IPC Section 241 still matter for older cases?
Yes. Section 358 BNS repeals the IPC while preserving specified previous operation, liabilities and proceedings. The applicable law for conduct occurring before 1 July 2024 requires consideration of the repeal-and-savings provision and the facts of the case. A historical offence should not automatically be assessed using the later BNS punishment.
Frequently asked questions
Is IPC Section 241 still in force?
No. The IPC was repealed with effect from 1 July 2024, subject to statutory savings for earlier matters.
What is the corresponding BNS provision?
Section 179 BNS is the principal current provision for knowingly delivering or using counterfeit coins as genuine, although it is broader than IPC Section 241 and does not preserve its distinct penalty.
What if someone discovers a counterfeit coin after receiving it?
Innocent receipt and later knowing circulation are different acts. A person who subsequently passes it as genuine may attract Section 179 BNS, depending on the facts. Avoid circulating the coin and seek guidance from appropriate authorities.
Official legislation and further reading
- Bharatiya Nyaya Sanhita, 2023 (official India Code PDF) — Sections 178, 179, 180 and 358.
- Bureau of Police Research and Development: BNS reference material.
- Indian Penal Code, 1860: sections and punishments.
Legal information only. The application of criminal law depends on the date of the conduct, statutory requirements and case-specific evidence.