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Section 180: Possession of Forged or Counterfeit Coin, Currency Notes

Bharatiya Nyaya Sanhita • Chapter IX: Of Offences Relating to Coin, Currency & Stamps • Official Statutory Text & Legal Guide

Chapter IX: Of Offences Relating to Coin, Currency & Stamps
Court of Session
Non-Bailable
Cognizable
Formerly Sec 242, 243, 489C IPC
Section 179 All 358 Sections of Bharatiya Nyaya Sanhita Section 181

Legal Commentary & Landmark Judgments: Section 180

Section 180 penalizes possession of forged or counterfeit coins, government stamps, currency notes, or bank notes, prescribing imprisonment of either description for a term which may extend to seven years, or fine, or both.

  • Conscious Physical Possession: Having in possession any forged or counterfeit coin, stamp, or currency note.
  • Dual Mens Rea Requirement: The person must: (1) Know or have reason to believe the same to be counterfeit, AND (2) Intend to use the same as genuine or that it may be used as genuine.
  • Seven-Year Custodial Ceiling: Penalizes the holding and distribution network of counterfeit currency (formerly Section 489C IPC).
Key Landmark Precedents:
  • Uma Shankar v. State of Chhattisgarh (2001) 9 SCC 642: The Supreme Court held that to convict under Section 489C IPC (Section 180 BNS), the prosecution must prove not only possession of counterfeit notes, but also the intention to foist them as genuine; mere possession of a single fake note without suspicious conduct is insufficient.
  • M. Mammutti v. State of Karnataka (1979) 4 SCC 723: Affirmed that the burden of proving guilty knowledge of counterfeiting rests squarely upon the prosecution.
Courtroom Practice & Strategic Litigation Guidance:

If a client is caught with a counterfeit currency note in their wallet, examine the number of notes: if it was an isolated note among genuine notes, argue absence of intent to foist fake notes under Section 180 BNS, securing discharge.

Section 179 All 358 Sections of Bharatiya Nyaya Sanhita Section 181