Section 243 IPC: Possession of Counterfeit Indian Coin with Prior Knowledge
Section 243 of the Indian Penal Code, 1860 punished fraudulent possession of counterfeit Indian coin where the person knew, when possession began, that the coin was counterfeit.
Section 243 IPC - Statutory Provision
Whoever, fraudulently or with intent that fraud may be committed, is in possession of counterfeit coin, which is a counterfeit of Indian coin, having known at the time when he became possessed of it that it was counterfeit, shall be punished with imprisonment of either description for a term which may extend to seven years, and shall also be liable to fine.
Historical amendment note: The Adaptation of Laws Order, 1950 substituted "Indian coin" for "the Queen's coin".
Meaning of Section 243 IPC
Section 243 was the aggravated possession offence concerning counterfeit Indian coin. It applied where a person fraudulently possessed a counterfeit of Indian coin, or possessed it with intent that fraud may be committed, while having known that it was counterfeit when possession began.
The provision therefore required more than mere physical custody. The character of the coin, the timing of the accused's knowledge, and the fraudulent purpose of possession were all material statutory elements.
Essential Ingredients
- The accused must be in possession of a counterfeit coin.
- The counterfeit coin must be a counterfeit of Indian coin.
- The accused must have known that the coin was counterfeit at the time the accused became possessed of it.
- The possession must be fraudulent or with intent that fraud may be committed.
Punishment and Classification Before BNS
| Offence | Fraudulent possession of counterfeit Indian coin by a person who knew it was counterfeit when possession began |
|---|---|
| Punishment | Imprisonment of either description for a term up to 7 years and fine |
| Cognizable | Yes |
| Bail | Non-bailable |
| Triable by | Magistrate of the first class |
Knowledge at the Time Possession Began
Section 243 expressly required prior knowledge: the accused had to know that the Indian coin was counterfeit when becoming possessed of it. Knowledge acquired only after innocent receipt would not reproduce this particular statutory ingredient.
Fraudulent Possession or Intent That Fraud May Be Committed
The section also required the possession to be fraudulent or accompanied by intent that fraud may be committed. Accordingly, the statutory offence was not framed as one of innocent or accidental possession. The prosecution had to establish the required mental element in addition to possession and prior knowledge.
Meaning of Indian Coin in the Pre-BNS IPC
Section 230 IPC contained the statutory concept of "coin" and separately addressed "Indian coin". For Section 243, the aggravated offence depended on the counterfeit being a counterfeit of Indian coin, rather than counterfeit coin generally. The terminology should be understood in the historical IPC context applicable to the offence.
Section 242 and Section 243 IPC - Difference
Section 242 dealt with fraudulent possession of counterfeit coin generally by a person who knew it was counterfeit when possession began, and prescribed imprisonment up to three years plus fine. Section 243 applied specifically to counterfeit Indian coin with the corresponding knowledge and fraudulent intent, and prescribed imprisonment up to seven years plus fine.
Section 240 and Section 243 IPC - Difference
Both provisions concerned counterfeit Indian coin and required knowledge when possession began. Section 240, however, dealt with fraudulent delivery or an attempt to induce another person to receive the counterfeit Indian coin. Section 243 punished the specified fraudulent possession itself and did not require proof of delivery.
Related IPC Provisions
Section 243 formed part of Chapter XII of the IPC concerning offences relating to coin and Government stamps. Section 230 defined coin and Indian coin; Section 232 dealt with counterfeiting Indian coin; Section 240 addressed delivery of counterfeit Indian coin known to be counterfeit when first possessed; Section 242 addressed possession of counterfeit coin generally; and Sections 244 and 245 dealt with offences connected with mints and coining instruments.
Official Legal Sources
For authoritative statutory text and the procedural classification applicable immediately before BNS implementation, consult the Indian Penal Code, 1860 and the First Schedule to the Code of Criminal Procedure, 1973 through India Code.