Indian Penal Code, 1860 · Chapter XII: Of Offences Relating to Coin and Government Stamps
Section 241: Delivery of coin as genuine, which, when first possessed, the deliverer did not know to be counterfeit
The Indian Penal Code, 1860 was repealed and replaced by the Bharatiya Nyaya Sanhita, 2023 from 1 July 2024. It still applies to offences and proceedings from before that date.
In plain words
Passing as genuine a counterfeit coin one now knows is counterfeit, but did not know when one received it, is punishable with imprisonment of either description for up to two years, or a fine of up to ten times the coin's value, or both.
Example: D receives counterfeit rupees not knowing they are fake, later discovers it, and pays them away as good. D is punishable under this section, while those who knowingly passed them on earlier are punishable under section 239 or 240.
A simplified explanation, prepared with AI assistance from the official text below and checked automatically against it for numbers and cross-references. The official text is the law and prevails over this summary. Not legal advice.
Official text
Whoever delivers to any other person as genuine, or attempts to induce any other person to
receive as genuine, any counterfeit coin which he knows to be counterfeit, but which he did not know to be counterfeit at the time when he took it into his possession, shall be punished with imprisonment of either description for a term which may extend to two years, or with fine to an amount which may extend to ten times the value of the coin counterfeited, or with both.
Illustration A, a coiner, delivers counterfeit Company's rupees to his accomplice B, for the purpose of uttering them. B sells the rupees to C, another utterer, who buys them knowing them to be counterfeit. C pays away the rupees for goods to D, who receives them, not knowing them to be counterfeit. D, after receiving the rupees, discovers that they are counterfeit and pays them away as if they were good. Here D is punishable only under this section, but B and C are punishable under section 239 or 240, as the case may be.
Corresponding sections were matched by comparing the wording of both official texts, and for the IPC and BNS, also against a published correspondence table. Wording, punishments and structure often changed, so read both sections before relying on the match.
Source: India Code (Legislative Department), the text of the Act as it stood before its repeal. Words in square brackets [ ] were inserted or substituted by later amending Acts, and *** marks words omitted by an amendment. The amendment footnotes are not reproduced here.