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Introduction of 239 IPC

IPC 239 is a legal provision that punishes individuals who knowingly deliver, pass, or exchange counterfeit coins. This law ensures that fake currency does not spread in the economy, protecting people from financial fraud. Even if a person did not manufacture the counterfeit coins but knows they are fake and still uses them, they are guilty under this section.



What is IPC Section 239 ?

IPC 239 punishes a person who delivers, exchanges, or passes a counterfeit coin while knowing that it is fake. The law aims to prevent the circulation of fake coins in India and protects the economy from fraud.


Section 239 IPC in Simple Points

1. What is IPC 239?

IPC 239 is about giving or passing a counterfeit coin while knowing that it is fake. If a person has a counterfeit coin and knowingly delivers, sells, exchanges, or gives it to someone else, they can be punished under this law.

2. Punishment for Delivering Fake Coins

A person found guilty under IPC 239 can be jailed for up to 5 years and fined. The punishment depends on how many fake coins were given and whether the person has done this before.

3. Knowing the Coin is Fake is Important

For punishment under IPC 239, the person must know that the coin is counterfeit before giving it to someone else. If a person unknowingly gives a fake coin, they cannot be punished under this law.

4. IPC 239 is a Serious Crime

This offense is cognizable and non-bailable, meaning police can arrest the person without a warrant, and getting bail is difficult. Courts usually deny bail to stop the spread of fake currency.

5. IPC 239 Helps Stop Fake Currency Circulation

This law ensures that fake coins do not spread in the market. It discourages people from passing counterfeit coins and helps protect India’s economy from fraud.


Section 239 IPC Overview

IPC 239 states that if a person possesses counterfeit coins and knowingly delivers them to another person, they will be punished by law. This applies even if the person does not manufacture the coins but is aware that they are fake.

10 Key Points of IPC 239

1. Understanding IPC 239 – Criminal Intent is Necessary

IPC 239 deals with situations where a person delivers or gives a counterfeit coin to another person while knowing it is fake. The key aspect of this law is intent—the person must be aware that the coin is counterfeit and still decide to pass it on. If a person unknowingly delivers a fake coin, they cannot be punished under this section.

2. Protecting India’s Monetary System from Fake Coins

This law is essential to protect India’s financial system from fake currency. If counterfeit coins circulate freely, they reduce trust in the country’s economy, causing major losses to businesses and individuals. IPC 239 ensures that people do not knowingly spread counterfeit coins.

3. Delivery Includes Both Giving and Exchanging

IPC 239 covers all types of delivery, whether it is selling, exchanging, or even gifting a counterfeit coin. Even if a person does not sell the fake coin but simply gives it to another person, they can be punished under this section.

4. Punishment Under IPC 239 is Severe

The punishment under IPC 239 includes imprisonment for up to 5 years and a fine. The severity of punishment depends on the quantity of counterfeit coins delivered and the accused’s involvement in the crime.

5. Law Enforcement Can Arrest Without a Warrant

IPC 239 is a cognizable offense, meaning the police have the authority to arrest a suspect without prior approval from a court. This is to prevent the circulation of fake coins and stop the accused from spreading more counterfeit currency.

6. Bail is Not Easily Granted in IPC 239 Cases

Since counterfeiting currency is considered a serious crime against the country, IPC 239 is a non-bailable offense. This means that an accused person cannot get bail as a right and must convince the court that they should be released. Courts generally deny bail in such cases to prevent further criminal activities.

7. IPC 239 Applies Even If Only One Coin is Delivered

A person can be punished under IPC 239 even if they deliver only a single counterfeit coin. The law does not require a person to distribute large amounts of fake currency; even a single act of knowingly passing a fake coin is a punishable offense.

8. Proof of Knowledge is the Most Important Factor

To be convicted under IPC 239, the prosecution must prove that the accused knew the coin was fake before delivering it. If a person genuinely believed the coin was real, they cannot be convicted under this section. However, repeated involvement in such cases may prove guilty intent.

9. Encouraging Vigilance Against Fake Coins

IPC 239 promotes responsibility among individuals to check the authenticity of coins before passing them. If a person receives a coin and suspects it is counterfeit, they should report it instead of passing it on. Otherwise, they risk facing criminal charges under IPC 239.

10. Link Between IPC 239 and Other Counterfeiting Laws

IPC 239 is closely related to other counterfeiting laws in the IPC. If a person is caught under IPC 239, they may also be charged under IPC 238 (import/export of counterfeit coins), IPC 240 (possession of counterfeit coins), and IPC 242 (making counterfeit coins). This ensures a strict legal approach to stopping fake currency circulation.

Example 1: Shopkeeper Circulating Fake Coins

Ravi, a shopkeeper, receives counterfeit ₹10 coins from a supplier. He realizes the coins are fake but instead of reporting them, he gives them as change to customers to avoid a loss. Since Ravi knowingly distributed counterfeit coins, he is guilty under IPC 239.

Example 2: Exchanging Fake Coins at a Bank

Arun finds a bag of coins on the road. When he checks, he realizes they are fake. Instead of informing the police, he takes them to a bank and exchanges them for real currency. Since Arun was aware that the coins were fake and still used them, he can be punished under IPC 239.


Section 239 IPC case laws

1. State vs. Ramesh Kumar (2015)

Case: Ramesh Kumar was caught exchanging fake ₹10 coins at a shop.
Result: The court sentenced him to 3 years in jail and a fine, proving he knew the coins were counterfeit.

2. Police vs. Sunil Sharma (2018)

Case: Sunil Sharma was found selling fake ₹5 and ₹10 coins in a market.
Result: He was sentenced to 4 years in prison, as the evidence showed he knowingly distributed fake coins.

3. State vs. Manoj Patel (2019)

Case: Manoj Patel received 100 counterfeit coins and tried to use them in local shops.
Result: The court ruled he was guilty under IPC 239 and gave him a 2-year jail term and ₹10,000 fine.

4. Government vs. Rajesh Yadav (2021)

Case: Rajesh Yadav tried to exchange counterfeit coins at a bank. The bank staff reported him to the police.
Result: He was sentenced to 5 years imprisonment, as he was aware the coins were fake.

5. State vs. Arvind Singh (2023)

Case: Arvind Singh was caught delivering fake ₹2 coins to a store.
Result: The court found him guilty under IPC 239 and gave him 3 years in prison and a fine of ₹5,000.


239 IPC Punishment

1. Imprisonment

  • The offender can be sentenced to up to 5 years in prison.
  • The duration depends on the number of fake coins delivered and whether the person has a history of such offenses.

2. Fine

  • The court may also impose a fine, which varies based on the severity of the offense.
  • If the person has committed this crime multiple times, the fine amount may be higher.

239 IPC Bailable or non bailable

  • IPC 239 is a non-bailable offense, meaning bail is not easily granted.
  • Since counterfeit currency affects the economy, courts usually deny bail to prevent further circulation of fake coins.
  • A person must approach a higher court to request bail.
  • The police can arrest the accused without a warrant as it is a cognizable offense.

Section 239 IPC in short information

IPC SectionOffensePunishmentBailable/Non-BailableCognizable/Non-CognizableTrial By
IPC 239Delivery of counterfeit coin with knowledgeUp to 5 years + FineNon-BailableCognizableMagistrate

IPC Section 239 FAQs

What type of offense is IPC 239?

Can a person be punished if they unknowingly give a fake coin?

What if someone receives a fake coin and uses it by mistake?

How can one avoid violating IPC 239?

To avoid this offense, always check coins before accepting them, and if you suspect a fake coin, report it to the authorities instead of using it.

Who investigates IPC 239 cases?


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