Section 239 IPC: Delivery of coin, possessed with knowledge that it is counterfeit

Indian Penal Code, 1860

Section 239 IPC at a Glance

Section 239 IPC deals with delivery of coin, possessed with knowledge that it is counterfeit. It is non-bailable and cognizable, triable by Magistrate of the first class; from 1 July 2024 it is replaced by Section 179 BNS.

Punishment

Imprisonment of either description for a term which may extend to five years.

Non-Bailable ⓘCognizable ⓘNon-Compoundable ⓘ🏛️ Magistrate of the first class ⓘ
BNS Equivalent

Section 179 →

Section 239 IPC Bare Act Text

239. Delivery of coin, possessed with knowledge that it is counterfeit

Whoever, having any counterfeit coin, which at the time when he became possessed of it, he knew to be counterfeit, fraudulently or with intent that fraud may be committed, delivers the same to any person, or attempts to induce any person to receive it, shall be punished with imprisonment of either description for a term which may extend to five years, and shall also be liable to fine.

Source: Section 239, Indian Penal Code, 1860

Section 239 IPC in Simple Words

Section 239 of the Indian Penal Code (IPC) punishes delivering counterfeit coin, or attempting to induce any person to receive it, where the person knew the coin was counterfeit at the time of becoming possessed of it, and acts fraudulently or with intent that fraud may be committed.

The punishment is imprisonment of either description for up to five years, and fine.

Under the First Schedule to the Code of Criminal Procedure, the offence is cognizable, non-bailable, and triable by a Magistrate of the first class.

Ingredients of Section 239 IPC

  • Having possession of any counterfeit coin
  • Knowing that the coin was counterfeit at the time when he became possessed of it
  • Acting fraudulently or with intent that fraud may be committed
  • Delivering the coin to any person, or attempting to induce any person to receive it

Punishment Under Section 239 IPC

Imprisonment

Imprisonment of either description for a term which may extend to five years.

Fine

The offender shall also be liable to fine.

Non-Bailable ⓘCognizable ⓘNon-Compoundable ⓘ🏛️ Magistrate of the first class ⓘ

Delivering coin possessed with knowledge that it is counterfeit is punishable with imprisonment of either description for up to five years, and the offender is also liable to fine.

Example of Section 239 IPC

In 2022, Suraj bought a pouch of counterfeit foreign silver coins in Lucknow at a steep discount, knowing at the moment he took possession of them that the coins were counterfeit. Two days later, at a local market in Lucknow, Suraj fraudulently handed those counterfeit coins to a fruit vendor named Devendra to pay for a basket of mangoes, intending to deceive Devendra into accepting them as genuine money. Because Suraj knew the coins were counterfeit when he acquired them and fraudulently delivered them, Suraj is punishable under Section 239 IPC.

When Section 239 IPC Does Not Apply

  • Section 239 IPC does not apply when the person received the coin believing it to be genuine and only discovered later that it was counterfeit.
  • Section 239 IPC does not apply when the coin handed over is genuine rather than counterfeit.
  • Section 239 IPC does not apply when the person merely held the counterfeit coin without delivering it or attempting to induce anyone to accept it.
  • Section 239 IPC does not apply when the coin is handed over openly, such as to police or for examination, without any fraudulent action or intent that fraud may be committed.

Section 239 IPC in the BNS

Section 239 IPC is now covered under Section 179 BNS.

Section 239 IPC is consolidated into Section 179 BNS, which covers delivering, selling, buying, receiving, trafficking, importing, exporting, and using as genuine any forged or counterfeit coin, Government stamp, currency-note, or bank-note. Section 179 BNS frames the mental test as knowing or having reason to believe the item to be counterfeit, omitting the specific requirement of knowledge at the time of initial possession. Section 179 BNS has no separate limb for attempting to induce a person to receive the coin, and it does not require that the act be done fraudulently or with intent that fraud may be committed. The maximum punishment rises from five years under Section 239 IPC to imprisonment for life, or imprisonment for up to ten years, under Section 179 BNS, and fine.

View detailed comparison (IPC 239 vs BNS 179) →

FAQs on Section 239 IPC

What does Section 239 IPC punish?▼

It punishes fraudulently delivering counterfeit coin, or attempting to induce another to receive it, having known that the coin was counterfeit at the time of becoming possessed of it.

What is the punishment under Section 239 IPC?▼

Imprisonment of either description for a term which may extend to five years, and fine.

Did Section 239 IPC require knowledge when possession began?▼

Yes. The section specifically required that the person knew the coin was counterfeit at the time when he became possessed of it.

Is Section 239 IPC bailable?▼

No. The offence is non-bailable and cognizable under the First Schedule to the Code of Criminal Procedure.

Which court tries an offence under Section 239 IPC?▼

It is triable by a Magistrate of the first class.

Can an offence under Section 239 IPC be compounded?▼

No. Section 239 IPC is not compoundable under Section 320 CrPC.

Where is Section 239 IPC placed in the Bharatiya Nyaya Sanhita?▼

It is consolidated into Section 179 BNS, which removes the separate acquisition-time knowledge test.

Have questions about Section 239 IPC?

Ask NyayGuru for a plain language explanation, punishment details, or how it applies to your situation.

Ask NyayGuru →

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 ·