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IPC Section 246 – Fraudulently or Dishonestly Removing or Destroying Coining Instrument

Adv. Kuldeep Kumar June 12, 2026 5 min read

Section Overview

Section Number:

IPC Section 246

Section Title:

Fraudulently or Dishonestly Removing or Destroying Coining Instrument

Act:

Indian Penal Code, 1860 (IPC)

Status:

Active under IPC framework; corresponding principles continue under the Bharatiya Nyaya Sanhita (BNS), 2023 relating to mint security and economic offences.

Applicability:

IPC Section 246 applies when:

  • A person fraudulently or dishonestly removes a coining instrument from a mint; OR

  • The person destroys or damages a coining instrument;

  • The act is intentional and done with dishonest intent;

  • The instrument is used for official coin production.

This section strengthens protection of mint machinery and tools.

Section Explanation

Simple Explanation (Plain English/Hinglish)

IPC Section 246 ka simple matlab hai ki agar koi vyakti mint ke coin banane wale tools ko jaanbujhkar chura leta hai, tod deta hai, ya damage karta hai, to woh crime karta hai.

Simple words mein:

"Mint ke important coin-making tools ko jaanbujhkar nuksan pahunchana ya chura lena crime hai."

Yeh law ensure karta hai ki currency production system safe rahe.

Legal Definition (Original Law Text)

The essence of IPC Section 246 is:

Whoever fraudulently or dishonestly removes or destroys any coining instrument from a mint commits an offence.

Practical Interpretation

For conviction under Section 246, prosecution generally needs to prove:

  1. The object was a coining instrument;

  2. It belonged to a mint;

  3. The accused removed or destroyed it;

  4. The act was fraudulent or dishonest;

  5. There was intention to cause wrongful gain or loss.

The section focuses on dishonest conduct affecting mint operations.

Why IPC Section 246 Was Introduced?

Mint equipment is extremely sensitive because:

  • It is directly linked to currency production;

  • Its misuse can enable counterfeiting;

  • Its destruction can disrupt economic stability;

  • It is government-controlled high-security property.

Therefore, stricter punishment is necessary.

Difference Between Section 245 and 246

IPC Section 245

Unlawfully taking coining instrument from mint.

IPC Section 246

Fraudulently or dishonestly removing or destroying coining instrument.

Thus:

  • Section 245 = Unauthorized removal.

  • Section 246 = Fraudulent removal or destruction with dishonest intent.

Section 246 is more serious due to intent element.

Importance of Dishonest Intent

The prosecution must establish:

  • Fraudulent or dishonest intention.

Without proving intent, liability may not arise under Section 246.

Punishment & Legal Classification

Punishment

IPC Section 246 provides:

  • Imprisonment up to 10 years; AND

  • Fine.

The punishment reflects seriousness of harming mint infrastructure.

Bailable / Non-Bailable

Non-Bailable

Cognizable / Non-Cognizable

Cognizable

Compoundable

Non-Compoundable

Triable By

Court of Session

IPC ↔ BNS Mapping

IPC Section

IPC Section 246

BNS Equivalent

The Bharatiya Nyaya Sanhita contains provisions relating to:

  • Protection of mint property;

  • Economic offences;

  • Fraud affecting currency systems.

Status

IPC repealed and replaced by BNS, but principle continues.

Real-Life Examples

Example 1: Destroying Coin Dies

A mint employee intentionally destroys coin dies to disrupt production.

Section 246 applies.

Example 2: Theft and Damage

A person steals mint equipment and damages it to prevent its use.

This attracts liability.

Example 3: Sabotage of Mint Operations

An insider intentionally damages mint machinery for financial gain or sabotage.

Section 246 becomes applicable.

Landmark Judgments

Case Name:

State of Maharashtra v. Mayer Hans George

Court:

Supreme Court of India

Key Takeaway:

Acts affecting economic security and public revenue are treated with strict liability.

Case Name:

R.K. Dalmia v. Delhi Administration

Court:

Supreme Court of India

Key Takeaway:

Dishonest handling of government property attracts serious criminal consequences.

Case Name:

Mobarik Ali Ahmed v. State of Bombay

Court:

Supreme Court of India

Key Takeaway:

Intent and knowledge are essential components in fraud-related offences.

Legal Insights

When Is This Section Applied?

Section 246 becomes relevant when:

  • Mint instruments are destroyed or stolen;

  • Fraud or dishonesty is proven;

  • Internal sabotage in mint is detected;

  • Equipment misuse is discovered during investigation.


Common Misuse Scenarios

 Accidental Damage

Unintentional damage may not attract liability.

 Mechanical Failure

Equipment failure may be mistaken for intentional destruction.

 Lack of Intent

No fraudulent intention exists.

 Misattribution

Accused wrongly linked to the damage.


Defenses Available

No Dishonest Intention

The act was accidental.

Lack of Participation

The accused did not commit or assist the act.

Technical Breakdown

Damage occurred due to machinery failure.

False Allegation

Accused wrongly implicated.

Disclaimer: This article is for general informational purposes only and does not constitute legal advice. Please consult a qualified advocate for your specific legal matter.
Adv. Kuldeep Kumar
Verified Advocate
Bar Council Reg: BR/196/2015

Frequently Asked Questions

IPC Section 246 punishes fraudulent removal or destruction of coining instruments.

Imprisonment up to 10 years and fine.

No. It is non-bailable.

Yes. It is cognizable.

A tool used in mint for producing official coins.

Section 245 involves unlawful removal; Section 246 involves fraudulent removal or destruction.

Yes. Fraudulent or dishonest intent is essential.

BNS includes similar provisions protecting mint security and currency integrity.

Generally no, unless intent is proven.

It protects mint infrastructure and ensures security of currency production.
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