Section 180 BNS: Possession of Forged or Counterfeit Coin, Government Stamp, Currency-Notes or Bank-Notes

Section 180 of the Bharatiya Nyaya Sanhita, 2023 deals with possession of forged or counterfeit coin, Government stamps, currency-notes or bank-notes where the person knows or has reason to believe that the item is counterfeit and intends that it be used as genuine.

Current law: The Bharatiya Nyaya Sanhita, 2023 is Act No. 45 of 2023 and came into force on 1 July 2024, except Section 106(2). Section 180 is part of Chapter X, dealing with offences relating to coin, Government stamps, currency-notes and bank-notes.

Text of Section 180 BNS

180. Possession of forged or counterfeit coin, Government stamp, currency-notes or bank-notes. Whoever has in his possession any forged or counterfeit coin, stamp, currency-note or bank-note, knowing or having reason to believe the same to be forged or counterfeit and intending to use the same as genuine or that it may be used as genuine, shall be punished with imprisonment of either description for a term which may extend to seven years, or with fine, or with both.

Explanation. If a person establishes the possession of the forged or counterfeit coin, stamp, currency-note or bank-note to be from a lawful source, it shall not constitute an offence under this section.

For the official statutory text, see the Bharatiya Nyaya Sanhita, 2023 on India Code.

Essential Ingredients of Section 180

Section 180 does not make every instance of physical possession an offence. The statutory elements include:

  • possession of a forged or counterfeit coin, stamp, currency-note or bank-note;
  • knowledge, or reason to believe, that the item is forged or counterfeit; and
  • an intention to use the item as genuine, or that it may be used as genuine.

Possession Alone Is Not Sufficient

The wording of Section 180 requires both possession and the specified mental elements. Accordingly, mere physical custody of a counterfeit item, without the required knowledge or reason to believe and without the statutory intent concerning its use as genuine, does not by itself satisfy all elements stated in the section.

Knowledge or Reason to Believe

The prosecution must establish that the person knew, or had reason to believe, that the coin, stamp, currency-note or bank-note was forged or counterfeit. This requirement is separate from the additional intention relating to use as genuine.

Intent That the Item Be Used as Genuine

Section 180 also requires an intention to use the counterfeit item as genuine, or an intention that it may be used as genuine. This distinguishes the offence from innocent or legally explainable possession.

Lawful-Source Explanation

The explanation to Section 180 expressly provides that where a person establishes that possession of the forged or counterfeit item was from a lawful source, the possession does not constitute an offence under this section.

The explanation is therefore an important statutory safeguard in cases where possession can be satisfactorily traced to a lawful source.

Punishment Under Section 180 BNS

A person convicted under Section 180 may be punished with:

  • imprisonment of either description for a term up to seven years;
  • fine; or
  • both imprisonment and fine.

Cognizable, Non-Bailable and Trial Court

The First Schedule to the Bharatiya Nagarik Suraksha Sanhita, 2023 classifies Section 180 BNS as follows:

Provision Section 180 BNS
Offence Possession of forged or counterfeit coin, Government stamp, currency-notes or bank-notes
Maximum imprisonment Up to seven years
Fine Fine may be imposed
Cognizability Cognizable
Bail Non-bailable
Trial court Court of Session

Difference Between Sections 179 and 180 BNS

Section 179 BNS deals with importing, exporting, selling, delivering, buying, receiving, trafficking in, or using forged or counterfeit items as genuine. Section 180 focuses on possession coupled with knowledge or reason to believe and the specified intention that the item be used as genuine.

Definitions Applicable to Section 180

The definitions for this chapter are contained in Section 178 BNS. Among other things, Section 178 defines "bank-note" and adopts the meaning of "coin" from Section 2 of the Coinage Act, 2011, with an additional inclusion for metal used as money and issued under State or Sovereign authority.

Corresponding Provisions Under the Indian Penal Code

The former Indian Penal Code, 1860 dealt with possession of counterfeit coin, Government stamps, and forged or counterfeit currency-notes or bank-notes through several separate provisions. For currency-notes and bank-notes, the closest well-known corresponding provision was Section 489C IPC. Section 180 BNS consolidates a broader category of counterfeit coin, stamps, currency-notes and bank-notes. The applicable provision in an older case depends on the object involved, the date of the alleged conduct, and relevant saving provisions.

Related BNS Provisions

Section 180 forms part of Chapter X of the BNS. Closely related provisions include Section 178 - Counterfeiting coin, Government stamps, currency-notes or bank-notes and Section 179 - Using as genuine forged or counterfeit coin, Government stamp, currency-notes or bank-notes.

Official Legal Resources

Readers may verify the current legislation through the official Bharatiya Nyaya Sanhita, 2023 text on India Code, the BNSS First Schedule on India Code, and the Ministry of Home Affairs new criminal laws page.

Legal note: This page is a general statutory reference. Liability under Section 180 depends on proof of possession, the nature of the alleged counterfeit item, knowledge or reason to believe, intention concerning its use as genuine, and any evidence establishing a lawful source.