BNS Section 323: Dishonest or Fraudulent Removal or Concealment of Property
Section 323 falls under Chapter 17 of the Bharatiya Nyaya Sanhita (BNS). Chapter 17 covers offences against property. Each section under this chapter deals with different offences related to various property related crimes. Section specifically deals with fraudulent concealment of property. Let us take a closer look at its provisions.
Definition of BNS Section 323
Section 323 of the Bharatiya Nyaya Sanhita (BNS), 2023 states:
Whoever dishonestly or fraudulently conceals or removes any property of himself or any other person, or dishonestly or fraudulently assists in the concealment or removal thereof, or dishonestly releases any demand or claim to which he is entitled, shall be punished with imprisonment of either description for a term which may extend to three years, or with fine, or with both.
Explanation and Illustration of BNS Section 323
This section is applicable to any person within the sovereign borders of India, whether citizen, resident or otherwise. It deals with the offence of fraudulent concealment of property. Let us break down the section to get a better understanding of it.
Offence
This section deals with the crime of concealing or removing property for fraudulent or dishonest reasons. In other words if a property has been concealed or removed with the purpose of preventing possession of the rightful owner then it shall be considered an offence under this section. It specifically lists three acts:
dishonestly or fraudulently conceals or removes any property - that is hiding or removing access to a property for the purpose of committing an unlawful or fraudulent act.
assists in the concealment or removal thereof - that is assisting someone to perform this act of concealment or removal
dishonestly releases any demand or claim to which he is entitled - that is performing any fraudulent or unlawful action that makes it appear as if the rightful owner no longer has any rights over that property.
Here the terms ‘dishonest’ and ‘fraudulent’ have been deliberately left undefined so as to accommodate all kinds of dishonest and fraudulent activities related to property concealment in a broad sense of the term.
Punishment
Any person found guilty of concealing or removing property for any fraudulent or dishonest purpose shall be punished with imprisonment for a term which may extend to three years, or with fine, or with both.
The above actions may not be an offence under this section if:
The offender is forced or coerced into performing the offence
The offender is a minor or not of sane mind.
However, there may be other sections under the BNS under which the above actions can be prosecuted and while they may be disqualified under the provisions of this section, such actions will still be punishable under the provisions of those respective sections of the BNS.
Key Points in BNS Section 323
This section deals with: Dishonest or fraudulent removal or concealment of property
Description of offence:
Punishment for offence:
Exceptions to offence:
Differences Between Section 323 of BNS and its Equivalent IPC Section
The BNS came into force on July 1, 2024, effectively replacing the Indian Penal Code. Section 323 of BNS replaces Section 424 of the IPC. Let us look at the changes that have been made in the provisions of the new section in comparison to the old one.
| BNS Sections/Subsections | Subject | IPC Sections | Summary of Comparison |
|---|---|---|---|
| 323 | Dishonest or fraudulent removal or concealment of property. | 424 | Upper limit of imprisonment is increased from two years to three years. |
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FAQs about Section 323 of the Bharatiya Nyaya Sanhita (BNS)
What does Section 323 say about removal or concealment of property?
Any person found to remove or conceal any property or asset owned by them for any fraudulent or dishonest purpose shall be considered an offender under this section.
Is hiding property always considered dishonest or fraudulent?
No. Hiding property in general is presumed to be for safety reasons. However, this section focuses on cases where such an action is taken for fraudulent and dishonest reasons, as it may be.
What are the penalties for property concealment under this section?
Any person found guilty of concealing or removing property for any fraudulent or dishonest purpose shall be punished with imprisonment for a term which may extend to three years, or with fine, or with both.
Does this section apply to movable and immovable property?
Yes. The section does not specify the type of property, implying that it applies to all property.
What evidence is required to prove property concealment?
One would have to first prove existence of the concealed property and disprove the circumstances under which the owner claims the property to have disappeared. Further, the reason for such action also has to be discovered to establish intent.
Can this section apply in family property disputes?
Yes. If any person claims to have lost a property in order to prevent the settlement of a family dispute shall be considered an offender under this section.
