Introduction of BNS 202
BNS Section 202 of the Bharatiya Nyaya Sanhita deals with the prohibition on public servants unlawfully engaging in trade or business. Public servants are entrusted with positions of responsibility and are expected to act in the interest of the public, free from personal or financial conflicts. If a public servant engages in trade, directly or indirectly, it can compromise their impartiality and lead to misuse of power.
This section ensures that public service remains free from corruption, favoritism, or undue influence of personal business interests, and prescribes punishment of up to one year of simple imprisonment, a fine, or both.
The Bharatiya Nyaya Sanhita (BNS) Section 202 replaces the old Indian Penal Code (IPC) Section 166.
- Introduction of BNS 202
- What is BNS Section 202 ?
- BNS 202 in Simple Points
- Section 202 BNS Overview
- 202 BNS Punishment
- BNS 202 bailable or not ?
- Bharatiya Nyaya Sanhita Section 202
- BNS Section 202 FAQs
- If you need support with court proceedings or any other legal matters, don’t hesitate to reach out for assistance.
What is BNS Section 202 ?
BNS Section 202 prohibits public servants from engaging in any form of trade or business, as they are legally bound to avoid conflicts of interest due to their official responsibilities. If they violate this rule and engage in trade, they can be punished with imprisonment, a fine, or both. The section is designed to prevent the misuse of public office for personal gain.

Under Section 202 of the bns act 2023
“If any public servant, who is prohibited by law from engaging in trade, unlawfully engages in such trade, he shall be punished with simple imprisonment up to one year, or fine, or both.”
1. Meaning of Section 202 – Public Servant Engaging in Trade
This section imposes a legal duty on public servants to remain free from private trade or business.
- Public servants hold positions of trust and must not mix official duty with personal financial interest.
- If they still engage in trade, directly or indirectly, it is unlawful.
- The purpose is to protect integrity and fairness in public service.
2. Who is Covered?
This section applies to:
- Government Officers – working under central or state government.
- Employees in Public Service – clerks, inspectors, police officers, or anyone bound by government service rules.
- Managers/Agents in Public Offices – those responsible for administration or supervision under public authority.
3. Nature of the Offence
- Non-cognizable → Police cannot arrest without a warrant.
- Bailable → The accused public servant can apply for bail.
- Non-compoundable → The case cannot be settled privately; it must proceed in court.
- Triable by Magistrate of the First Class → Ensures fair judicial scrutiny.
4. Examples of BNS Section 202
- Example 1 – Government Officer’s Business:
A revenue officer secretly opens a trading company while still holding office. When discovered, he is prosecuted under Section 202. - Example 2 – Licensing Officer with Private Shop:
An officer issues licenses to vendors but also runs his own private shop in the same area, creating a conflict of interest → He is guilty under Section 202. - Example 3 – Not Guilty Case:
A public servant passively owns shares in a large company but has no role in its trade or management → This may not amount to “unlawful trade” under Section 202.
5. Punishment under BNS Section 202
- Imprisonment → Simple imprisonment up to 1 year.
- Fine → Court may impose monetary penalty.
- Both → In some cases, both imprisonment and fine can be imposed.
6. Importance of BNS Section 202
- Prevents Corruption – Stops public servants from misusing their office for private gain.
- Maintains Integrity – Ensures they focus only on their official responsibilities.
- Avoids Conflicts of Interest – Keeps public office separate from personal business.
- Promotes Public Trust – Citizens can trust that government officials act fairly.
Section 202 BNS Overview
BNS Section 202 deals with the issue of public servants engaging in trade or business, which they are prohibited from doing because of their official roles. The section ensures that public servants remain dedicated to their duties without personal financial interests conflicting with their public office responsibilities. If a public servant engages in trade unlawfully, they can be punished with imprisonment, a fine, or both.
10 Key Points of BNS Section 202:
- Prohibition on Trade for Public Servants: Public servants are legally restricted from engaging in any form of trade or business. This restriction exists to prevent conflicts of interest where the public servant’s private business may interfere with their public duties.
- Violation of Legal Duty: If a public servant violates their duty by engaging in trade or commercial activity, they are considered to have broken the law under BNS Section 202. This violation undermines public trust and accountability.
- Focus on Integrity of Public Office: The purpose of this law is to protect the integrity of the public office. Public servants hold positions of power and trust, and engaging in trade could lead to corruption or favoritism in their official responsibilities.
- Punishment for Engaging in Trade: The section prescribes simple imprisonment of up to one year for any public servant who violates the provision. This reflects the seriousness of maintaining the integrity of the public office.
- Fine or Community Service as Alternative Punishment: In addition to or instead of imprisonment, the court may impose a fine on the guilty public servant. The court may also choose to assign community service, depending on the severity of the violation.
- Non-Cognizable Offense: A violation of BNS Section 202 is classified as a non-cognizable offense, meaning that the police cannot arrest the public servant without a warrant. Formal legal proceedings are required before any action can be taken.
- Bailable Offense: The section is categorized as a bailable offense, meaning that the accused public servant can seek bail. This allows them to remain free during the legal proceedings.
- Tried by a Magistrate: Cases involving violations of BNS Section 202 are tried by a Magistrate of the first class, reflecting the relatively lower severity of the offense compared to other crimes.
- Non-Compoundable Offense: BNS Section 202 is non-compoundable, meaning that the case cannot be privately settled between the parties. The legal process must be followed to resolve the issue in court.
- Legal Obligation of Public Servants: This law reinforces the fact that public servants are bound by their roles to focus entirely on their official duties. Engaging in trade compromises the quality and objectivity of their public service, which is why the law imposes such restrictions.
Examples of BNS Section 202:
- Example 1: A government officer who is legally prohibited from engaging in private business secretly opens a trading company while still holding their public office. When it is discovered that the officer has been profiting from this trade while making decisions that affect the market, they are charged under BNS Section 202 for unlawfully engaging in trade.
- Example 2: A public servant responsible for issuing licenses to local vendors also owns a private business selling goods to the same vendors. This creates a conflict of interest. When it is revealed, the public servant is charged under BNS Section 202 for engaging in a trade that contradicts their legal obligations as a public servant.
202 BNS Punishment
- Imprisonment
A public servant found guilty under BNS Section 202 may face simple imprisonment for a term that can extend up to one year, depending on the severity of the offense and any conflict of interest involved. - Fine: In addition to or instead of imprisonment, the guilty public servant may be fined. Alternatively, they may be assigned community service as a penalty, based on the discretion of the court.
BNS 202 bailable or not ?
BNS Section 202 is bailable, meaning the public servant accused of unlawfully engaging in trade can apply for and obtain bail, allowing them to remain free while the case proceeds.
Comparison Table: BNS Section 202 vs IPC Section 166
Aspect | BNS Section 202 | IPC Section 166 |
---|---|---|
Offence | Public servant unlawfully engaging in trade | Public servant disobeying law with intent to cause injury |
Who is Covered? | Public servants engaging in trade or business despite prohibition | Public servants misusing powers or disobeying legal orders |
Punishment | Simple imprisonment up to 1 year, or fine, or both | Simple imprisonment up to 1 year, or fine, or both |
Nature of Offence | Bailable, Non-cognizable, Non-compoundable | Bailable, Non-cognizable, Non-compoundable |
Trial By | Magistrate of the First Class | Magistrate of the First Class |
Purpose | To prevent public servants from mixing personal business with official duty | To punish disobedience of law causing injury |
BNS Section 202 FAQs
What is BNS Section 202?
BNS Section 202 punishes public servants who engage in trade despite being legally bound not to do so due to their public office responsibilities.
What is the maximum imprisonment under BNS Section 202?
The maximum imprisonment for a public servant found guilty under BNS Section 202 is one year.
Can police arrest without a warrant under BNS Section 202?
No, BNS Section 202 is non-cognizable, meaning the police cannot arrest the public servant without a warrant.
Is BNS Section 202 bailable?
Yes, BNS Section 202 is a bailable offense, meaning the accused can apply for bail.
Is BNS Section 202 compoundable?
No, BNS Section 202 is non-compoundable, which means the case cannot be settled privately between the parties and must go through the legal process.
What type of court handles cases under BNS Section 202?
Cases under BNS Section 202 are tried by a Magistrate of the first class.
Conclusion
BNS Section 202 plays a vital role in maintaining the integrity and impartiality of public service. By prohibiting public servants from engaging in trade, it ensures that they focus entirely on their official duties without personal business interests interfering. This section not only protects citizens from corruption but also promotes public trust in government institutions.
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