Table of Contents
INTRODUCTION
Section 403 Whoever dishonestly misappropriates or converts to his own use any movable property, shall be punished with imprisonment of either description for a term which may extend to two years, with fine, or with both.
Criminal misappropriation occurs not when the possession has been innocently come by, but when, by a subsequent change of intention or from the knowledge of some new facts with which the party was not previously acquainted, the retaining becomes wrongful fraudulent.
EXAMPLE
A takes property belonging to Z out of Z’s possession, in good faith, believing that the property belongs to himself at any time when he takes it. A is not guilty of theft; but if A, after discovering his mistake, dishonestly appropriates the property to his own use, he is guilty of an offence under this section.
A and B, being joint owners of a horse, A takes the horse out of B’s possession, intending, to use it. Here, as A has a right to use the horse, he does not dishonestly misappropriate it. But, if A sells the horse and appropriates the whole proceeds to his own use, he is guilty of an offence under this section
Description of IPC Section 403
According to section 403 of the Indian penal code, Whoever dishonestly misappropriates or converts to his own use any movable property, shall be punished with imprisonment of either description for a term which may extend to two years, or with a fine, or with both.
INGREDIENTS
- Dishonest misappropriation or conversion of property for a person’s own use.
- Such property must be movable
Dishonest misappropriation or conversion to one’s own use
For an offence under this section, it is not necessary that the property should be taken with dishonest intention, the possession of the property may come innocently and then by a subsequent change of intention, or knowledge of some new facts with which the party was not previously acquainted, the retaining of property become wrongful and fraudulent
(Bhagiram Dome v. Abar Dome, (1888) 15 Cal). The essence of the offence under this section is that some property belonging to another which comes to the possession of the accused innocently is misappropriated or converted by the accused to his own use. There must be the actual conversion of the thing misappropriated to the accused’s own use. Mare retaining of an article found does not amount to criminal misappropriation.
Misappropriation or conversion need not be permanent, it may be even for a time being
Any movable property
The misappropriation must be of movable property. Thus only movable property can be the proper subject matter of criminal misappropriation of property.
EXAMPLE
- A finds a rupee on the high road, not knowing to whom the rupee belongs. Picks up the rupee. Here A has not committed the offence defined in this section
- A finds a letter on the road, containing a bank note. From the direction and contents of the letter, he learns to whom the note belongs. He appropriates the note. He is guilty of an offence under this section
- A finds a cheque payable to the bearer. He can form no conjecture as to the person who has lost the cheque. But the name of the person, who has drawn the cheque, appears. A knows that this person can direct him to the person in whose favor the cheque was drawn. A appropriates the cheque without attempting to discover the owner. He is guilty of an offence under this section
- A finds a valuable ring, not knowing to whom it belongs. A sells it immediately without attempting to discover the owner. A is guilty of an offence under this section
FAQ’s
What offence is defined under IPC 403?
Dishonest misappropriation of movable property, or converting it to one’s own use.
What is the punishment for IPC 403 Case?
The punishment for IPC 403 is 2 Years or a Fine or Both
Is IPC 403 a bailable or non-bailable offence?
Bailable offence.
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