Section 257 IPC: Making or Selling Instrument for Counterfeiting Government Stamp

Section 257 of the Indian Penal Code, 1860 dealt with making, buying, selling or disposing of an instrument intended to be used for counterfeiting a stamp issued by the Government for the purpose of revenue.

Text and meaning of Section 257 IPC

Essential ingredients of the offence

For Section 257 IPC to apply, the prosecution had to establish the prohibited dealing with an instrument together with the required connection to counterfeiting a Government revenue stamp. The principal elements were:

• An instrument: There had to be an instrument capable of being used in the process contemplated by the section.
• A prohibited act: The accused must have made or performed part of the process of making the instrument, or bought, sold or disposed of it.
• Purpose or knowledge: The instrument must have been intended for counterfeiting, or the accused must have known or had reason to believe that it was intended to be so used.
• Government revenue stamp: The contemplated counterfeit had to concern a stamp issued by the Government for the purpose of revenue.

What does "counterfeiting" mean?

Under Section 28 IPC, a person was said to counterfeit when, with intent to practise deception or knowing it to be likely that deception would thereby be practised, the person caused one thing to resemble another. An exact imitation was not essential. This general IPC definition assisted in understanding the counterfeiting element used in Section 257.

Knowledge and "reason to believe"

Section 257 did not require that the instrument must actually have been used to produce a counterfeit stamp. The provision also addressed dealing in an instrument where the person knew or had reason to believe that it was intended to be used for counterfeiting a Government revenue stamp. Under Section 26 IPC, a person was said to have "reason to believe" a thing when there was sufficient cause to believe that thing, but not otherwise.

Punishment under Section 257 IPC

Relationship with nearby IPC provisions

Section 257 formed part of the IPC chapter dealing with offences relating to coin and Government stamps. It should be read in context with Section 255 IPC, which dealt with counterfeiting a Government stamp; Section 256 IPC, which dealt with possession of instruments or materials for counterfeiting Government stamps; Section 258 IPC, concerning sale of counterfeit Government stamps; and Section 259 IPC, concerning possession of counterfeit Government stamps.

Section 257 IPC and the Bharatiya Nyaya Sanhita, 2023

The Bharatiya Nyaya Sanhita, 2023 replaced the IPC as the general substantive criminal law from 1 July 2024, subject to the statutory transition and saving provisions applicable to earlier offences. The subject matter formerly addressed through several IPC provisions on counterfeiting instruments and materials is dealt with more broadly in Section 181 BNS, which covers making, mending, buying, selling, disposing of or possessing machinery, dies, instruments or materials for forging or counterfeiting coin, Government stamps, currency-notes or bank-notes.

This page is an informational explanation of the pre-BNS provision and should be read with the statutory text and law applicable to the date of the alleged offence.