Bombay High Court Acquits Accused in Counterfeit Currency Case Due to Lack of Mens Rea. Conviction under Section 489(B) IPC set aside as prosecution failed to prove that the accused knew or had reason to believe the currency notes were counterfeit.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Accused
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Case Note & Summary

The appellant, Mohammad Yunus Abdul Mannan Shaikh, was convicted by the Additional Sessions Judge, Shrirampur, for an offence under Section 489(B) of the Indian Penal Code for allegedly using a counterfeit Rs. 1,000 note to purchase a pair of chappals. The incident occurred on 25 September 2011 when the appellant entered the shoe shop of Ravindra Shende and offered a Rs. 1,000 note for a purchase of Rs. 100. The complainant suspected the note was fake, detained the appellant, and called the police. Two counterfeit notes were recovered from the appellant. The trial court convicted him, leading to this appeal. The High Court examined whether the prosecution had proved the essential ingredient of mens rea—that the appellant knew or had reason to believe the notes were counterfeit. The court noted that the appellant was a young labourer from Jharkhand, and there was no evidence that he had any prior knowledge or involvement in counterfeiting. The circumstances, such as the appellant entering another shop where the note was refused due to lack of change, did not establish his knowledge. The court held that the prosecution failed to discharge its burden of proof regarding the appellant's guilty knowledge. Consequently, the appeal was allowed, the conviction was set aside, and the appellant was acquitted.

Headnote

A) Criminal Law - Counterfeit Currency - Section 489(B) IPC - Mens Rea - The prosecution must prove that the accused knew or had reason to believe the currency note was counterfeit at the time of using it as genuine. Mere possession or use of a counterfeit note without such knowledge does not constitute the offence. (Paras 1-4)

B) Evidence - Burden of Proof - Section 489(B) IPC - The burden lies on the prosecution to establish the guilty knowledge of the accused. In the absence of direct evidence or circumstances pointing to such knowledge, the accused is entitled to acquittal. (Paras 2-4)

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Issue of Consideration

Whether the conviction of the appellant under Section 489(B) of the Indian Penal Code for using as genuine a forged or counterfeit currency note is sustainable when the prosecution failed to prove that the accused knew or had reason to believe the note was counterfeit.

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Final Decision

Appeal allowed. Conviction and sentence set aside. Appellant acquitted of the offence under Section 489(B) IPC.

Law Points

  • Section 489(B) IPC requires mens rea
  • knowledge or reason to believe that the currency note is counterfeit
  • burden of proof on prosecution
  • circumstantial evidence insufficient
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Case Details

2012 LawText (BOM) (10) 24

Criminal Appeal No. 342/2012

2012-10-09

T.V. Nalawade

Shri H.D. Deshmukh for appellant, Shri S.N. Kendre, A.P.P. for State

Mohammad Yunus Abdul Mannan Shaikh

The State of Maharashtra

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Nature of Litigation

Criminal appeal against conviction under Section 489(B) IPC for using counterfeit currency notes.

Remedy Sought

Appellant sought acquittal by challenging the conviction and sentence imposed by the trial court.

Filing Reason

Appellant was convicted for using a counterfeit Rs. 1,000 note to purchase chappals, and he appealed on the ground that the prosecution failed to prove his knowledge that the note was counterfeit.

Previous Decisions

The trial court in Sessions Case No. 21/2012 convicted the appellant under Section 489(B) IPC and sentenced him.

Issues

Whether the prosecution proved beyond reasonable doubt that the appellant knew or had reason to believe the currency note was counterfeit at the time of its use. Whether the conviction under Section 489(B) IPC is sustainable in the absence of evidence of mens rea.

Submissions/Arguments

Appellant argued that he was a young labourer and had no knowledge that the note was counterfeit; he used it in the ordinary course of purchase. State argued that the appellant had two counterfeit notes and attempted to use one, which indicates his knowledge.

Ratio Decidendi

For an offence under Section 489(B) IPC, the prosecution must prove that the accused knew or had reason to believe the currency note was counterfeit. In the absence of such proof, the conviction cannot be sustained.

Judgment Excerpts

The appeal is filed against judgment and order of Sessions Case No. 21/2012... The appellant is convicted and sentenced for offence punishable under section 489 (B) of the Indian Penal Code. The facts leading institution of the appeal can be stated as follows.

Procedural History

The appellant was convicted by the Additional Sessions Judge, Shrirampur, in Sessions Case No. 21/2012 for an offence under Section 489(B) IPC. He appealed to the Bombay High Court, which heard the appeal and delivered judgment on 09 October 2012.

Acts & Sections

  • Indian Penal Code, 1860 (IPC): 489(B)
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Related Judgement
High Court Bombay High Court Acquits Accused in Counterfeit Currency Case Due to Lack of Mens Rea. Conviction under Section 489(B) IPC set aside as prosecution failed to prove that the accused knew or had reason to believe the currency notes were counterfeit.
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