Section 23 IPC: “Wrongful gain”

Indian Penal Code, 1860

Section 23 IPC at a Glance

Section 23 IPC defines the term “Wrongful gain”. From 1 July 2024 it is replaced by Section 2(36), 2(37) and 2(38) BNS.

Punishment

None. Section 23 IPC creates no offence.

BNS Equivalent

Section 2(36), 2(37) and 2(38) →

Section 23 IPC Bare Act Text

23. “Wrongful gain”

“Wrongful gain” is gain by unlawful means of property to which the person gaining is not legally entitled.

“Wrongful loss”.—“Wrongful loss” is the loss by unlawful means of property to which the person losing it is legally entitled.

Gaining wrongfully/Losing wrongfully.—A person is said to gain wrongfully when such person retains wrongfully, as well as when such person acquires wrongfully. A person is said to lose wrongfully when such person is wrongfully kept out of any property, as well as when such person is wrongfully deprived of property.

Source: Section 23, Indian Penal Code, 1860

Section 23 IPC in Simple Words

Section 23 of the Indian Penal Code (IPC) defines wrongful gain and wrongful loss. Wrongful gain is gain by unlawful means of property to which the person gaining is not legally entitled.

Wrongful loss is loss by unlawful means of property to which the person losing it is legally entitled. A person gains wrongfully by retaining as well as by acquiring, and loses wrongfully by being kept out of property as well as by being deprived of it.

The section creates no offence and sets no punishment.

Ingredients of Section 23 IPC

  • Gain or loss of property by unlawful means
  • For wrongful gain, the person gaining is not legally entitled to the property
  • For wrongful loss, the person losing it is legally entitled to the property
  • Gaining wrongfully covers retaining wrongfully as well as acquiring wrongfully
  • Losing wrongfully covers being wrongfully kept out of property as well as being wrongfully deprived of it

Punishment Under Section 23 IPC

Imprisonment

None. Section 23 IPC creates no offence.

Fine

None.

Section 23 IPC is a definition. It has no entry in the First Schedule to the CrPC.

Example of Section 23 IPC

In 2017 in Indore, Pallavi left her tractor at Tarun's workshop for servicing, and Tarun also secretly took a water pump from her trolley without permission. When Pallavi returned, Tarun unlawfully locked the gates and kept both machines for himself. Pallavi was legally entitled to both properties, whereas Tarun was not legally entitled to them. By unlawful means, Tarun acquired the pump wrongfully and retained the tractor wrongfully, while Pallavi was wrongfully deprived of the pump and wrongfully kept out of the tractor, causing wrongful gain to Tarun and wrongful loss to Pallavi under Section 23 IPC.

When Section 23 IPC Does Not Apply

  • Section 23 IPC does not apply when a buyer takes possession of goods purchased under a valid contract, because the buyer is legally entitled to the property and acquires it by lawful means.
  • Section 23 IPC does not apply when a municipal authority attaches goods under statutory recovery powers, because the loss of property is caused by lawful means.
  • Section 23 IPC does not apply when a thief is dispossessed of stolen goods by the true owner, because the thief was never legally entitled to the property.

Section 23 IPC in the BNS

Section 23 IPC is now covered under Section 2(36), 2(37) and 2(38) BNS.

The BNS splits Section 23 IPC into three clauses. Section 2(36) BNS defines wrongful gain, Section 2(37) BNS defines wrongful loss, and Section 2(38) BNS defines gaining wrongfully and losing wrongfully. The first two say means where the IPC said is. The words of each definition are otherwise the same.

View detailed comparison (IPC 23 vs BNS 2(36), 2(37) and 2(38)) →

FAQs on Section 23 IPC

What does Section 23 IPC define?▼

Two paired terms. Wrongful gain turns on a person gaining property he is not legally entitled to, and wrongful loss on a person losing property he is legally entitled to. In both, the means must be unlawful.

Under Section 23 IPC, must the property be taken for there to be wrongful gain?▼

No. A person gains wrongfully when he retains wrongfully, as well as when he acquires wrongfully. Keeping property one is bound to give back is enough.

Under Section 23 IPC, can there be wrongful loss if nothing is taken away?▼

Yes. A person loses wrongfully when he is wrongfully kept out of any property, as well as when he is wrongfully deprived of it.

Under Section 23 IPC, is every loss of property a wrongful loss?▼

No. Two things must both be present: unlawful means, and a person losing property to which he is legally entitled. A loss by lawful means is not wrongful loss.

Why does Section 23 IPC matter?▼

Section 24 IPC builds the word dishonestly on it: doing anything with the intention of causing wrongful gain to one person or wrongful loss to another. Dishonest intention is an ingredient of theft under Section 378 IPC and criminal misappropriation under Section 403 IPC.

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Disclaimer: This is for informational purposes only. Always consult a qualified advocate for legal advice.

Sources: Bare Act Text, Indian Penal Code, 1860 · Last updated: 16 Oct 2026 ·