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Indian Penal Code, 1860 · Chapter XVII: Of Offences against Property · Of criminal breach of trust

Section 409: Criminal breach of trust by public, servant. or by banker, merchant or agent

The Indian Penal Code, 1860 was repealed and replaced by the Bharatiya Nyaya Sanhita, 2023 from 1 July 2024. It still applies to matters and proceedings from before that date, as the repealing law provides.

Now in the BNS section 316 (Criminal breach of trust)

In plain words

Criminal breach of trust by a public servant, or by a banker, merchant, factor, broker, attorney or agent, of property entrusted to them in that capacity is punishable with imprisonment for life or imprisonment of either description for up to ten years, and a fine.

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.

Read the in-depth explanation, with key Supreme Court rulings ↓

Official text

Whoever, being in any manner entrusted with property, or with any dominion over property in his capacity of a public servant or in the way of his business as a banker, merchant, factor, broker, attorney or agent, commits criminal breach of trust in respect of that property, shall be punished with [imprisonment for life], or with imprisonment of either description for a term which may extend to ten years, and shall also be liable to fine.

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.

Understanding this section

Section 409 punishes criminal breach of trust by a public servant, banker, merchant, factor, broker, attorney or agent, in respect of property entrusted to them in that capacity. It is the gravest form of criminal breach of trust, punishable with life imprisonment, because of the special trust involved.

Ingredients

  • The accused was a public servant, or a banker, merchant, factor, broker, attorney or agent.
  • He was entrusted with property, or dominion over it, in that capacity.
  • He committed criminal breach of trust, as defined in section 405, in respect of that property.

Entrustment in that capacity

The entrustment must be connected to the official or business capacity. A public servant who receives government money for official purposes and misappropriates it falls here; money received in a private capacity does not.

Proof of misappropriation

Once entrustment is proved and the accused fails to account for the property, or gives a false explanation, the court may infer dishonest misappropriation. A mere failure to return or delay, honestly explained, is not enough.

Prosecution of public servants

Sanction under section 197 of the Code of Criminal Procedure may be needed where the act is connected with official duty. Corruption laws may also apply in parallel.

Key Supreme Court rulings

  • N. Raghavender v. State of Andhra Pradesh, CBI 2021 INSC 876

    The entrustment of public property and its dishonest misappropriation or use are a sine qua non for an offence under section 409; the ingredients of section 405 must first be satisfied.

  • Kasireddy Upender Reddy v. State of Andhra Pradesh 2025 INSC 768

    Grounds of arrest alleging section 409 must disclose the ingredients of entrustment, the property entrusted and the manner of misappropriation; a bare mention of the section number is not enough.

Common mistakes

  • Applying section 409 without proving entrustment in the official or business capacity.

Read with: Section 405 IPC, Section 406 IPC, Section 197 CrPC, Section 316 BNS

Prepared with AI assistance as a study aid. Every ruling listed was checked against the Supreme Court's own judgments on this site, and quoted words appear in those judgments; linked names open the full judgment. Read the judgments themselves before relying on them. Not legal advice.

Supreme Court judgments citing the section 409