Section 259 IPC: Having Possession of Counterfeit Government Stamp

Section 259 of the Indian Penal Code, 1860 dealt with possession of a counterfeit Government revenue stamp where the accused knew that the stamp was counterfeit and possessed it with the intention that it be used or disposed of as genuine.

Historical law note: This article explains the legal position under the Indian Penal Code, 1860 and the Code of Criminal Procedure, 1973 as applicable immediately before the Bharatiya Nyaya Sanhita, 2023 came into force on 1 July 2024. It is therefore primarily relevant to the pre-BNS legal position and proceedings to which the repealed law continues to be relevant under applicable saving provisions.

Text of Section 259 IPC

Whoever has in his possession any stamp which he knows to be a counterfeit of any stamp issued by Government for the purpose of revenue, intending to use, or dispose of the same as a genuine stamp, or in order that it may be used as a genuine stamp, shall be punished with imprisonment of either description for a term which may extend to seven years, and shall also be liable to fine.

Meaning and Scope of Section 259 IPC

Section 259 formed part of Chapter XII of the IPC, which dealt with offences relating to coin and Government stamps. The provision was directed at knowing possession of a counterfeit stamp issued by Government for revenue purposes when that possession was accompanied by an intention connected with passing, using or disposing of the counterfeit stamp as genuine.

Mere physical possession was not, by itself, the complete statutory requirement. The language of Section 259 required the prosecution to establish both the accused's knowledge that the stamp was counterfeit and the further intention specified in the section.

Essential Ingredients of the Offence

For liability under Section 259 IPC, the prosecution was required to prove the material elements contained in the provision, including:

Possession: the accused had a stamp in his or her possession.
Nature of the stamp: the stamp was a counterfeit of a stamp issued by Government for the purpose of revenue.
Knowledge: the accused knew that the stamp in possession was counterfeit.
Intention: the accused intended to use or dispose of the counterfeit stamp as genuine, or possessed it so that it might be used as genuine.

Punishment Under Section 259 IPC

A person convicted under Section 259 IPC could be punished with imprisonment of either description for a term extending up to seven years and was also liable to fine. "Imprisonment of either description" referred to the forms of imprisonment recognised by the IPC, subject to the sentence lawfully imposed by the competent court.

Classification Under the Code of Criminal Procedure, 1973

Offence	Having possession of a counterfeit Government stamp
Punishment	Imprisonment up to 7 years and fine
Cognizable	Yes
Bailable	Yes
Court competent to try	Magistrate of the first class

What Did "Counterfeit Government Stamp" Mean in This Provision?

For Section 259, the relevant object was a counterfeit of a stamp issued by Government for the purpose of revenue. The statutory focus was therefore not on every imitation, label or private stamp. The alleged counterfeit had to relate to a Government-issued revenue stamp of the kind contemplated by the provision.

Knowledge and Intention Were Material

The wording of Section 259 expressly used the requirement that the person "knows" the stamp to be counterfeit. It also required an intention to use or dispose of it as genuine, or possession in order that it might be used as genuine. These mental elements distinguished the offence from innocent or unexplained possession where the statutory knowledge and intention could not be proved.

Difference Between Sections 258, 259 and 260 IPC

The neighbouring provisions addressed different stages of conduct involving counterfeit Government stamps. Section 258 IPC dealt with sale or offering for sale of a counterfeit Government stamp with the required knowledge or reason to believe. Section 259 dealt with knowing possession accompanied by the specified intention. Section 260 IPC dealt with actually using as genuine a Government stamp known to be counterfeit.

Law Applicable Before the BNS

The Bharatiya Nyaya Sanhita, 2023 was brought into force from 1 July 2024, subject to the commencement notification issued by the Central Government. Accordingly, this page preserves and explains Section 259 IPC as part of the criminal law position applicable before implementation of the BNS. The applicable law in a particular proceeding can depend on the date of the alleged conduct and the relevant repeal and saving provisions.

Official Legal References

For authoritative bare-act material, readers may consult the India Code portal and the Ministry of Home Affairs criminal laws page.

Disclaimer: This page is a general legal information resource. Statutory provisions, amendments, saving clauses and case-specific procedural rules should be checked before relying on the material in a particular proceeding.