Section 320 of the Bharatiya Nyaya Sanhita (BNS) 2023 deals with the offense of dishonest or fraudulent removal or concealment of property to prevent distribution among creditors. The key points regarding this section are:
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- Whoever dishonestly or fraudulently removes, conceals, delivers to any person, transfers or causes to be transferred to any person, without adequate consideration, any property, intending thereby to prevent, or knowing it to be likely that he will thereby prevent, the distribution of that property according to law among his creditors or the creditors of any other person, shall be punished
- The punishment is imprisonment of either description for a term which shall not be less than six months but which may extend to two years, or with fine, or with both. This section is a new addition compared to the corresponding section 421 in the Indian Penal Code, 1860.
So in summary, Section 320 BNS criminalizes the act of fraudulently concealing or transferring one’s property to avoid paying off debts, with a minimum imprisonment term of 6 months and fine as punishment.
Adv Ashish Sharma has dedicated his career to helping individuals and businesses navigate the intricate legal landscape with confidence. From providing expert advice on current legal issues to offering clear explanations of legal principles, he strives to empower his audience with knowledge and understanding.
