Whoever dishonestly misappropriates or converts to his own use any movable property shall be punished with imprisonment of either description for a term which shall not be less than six months but which may extend to two years and with fine.
Illustrations.
(a) A takes property belonging to Z out of Z’s possession, in good faith believing at the time when he takes it that the property belongs to himself. 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.
(b) A, being on friendly terms with Z, goes into Z’s library in Z’s absence and takes away a book without Z’s express consent. Here, if A was under the impression that he had Z’s implied consent to take the book for the purpose of reading it, A has not committed theft. But, if A afterwards sells the book for his own benefit, he is guilty of an offence under this section.
(c) 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.
Explanation 1: A dishonest misappropriation for a time only is a misappropriation within the meaning of this section.
Illustration: A finds a Government promissory note belonging to Z, bearing a blank endorsement. A, knowing that the note belongs to Z, pledges it with a banker as security for a loan, intending at a future time to restore it to Z. A has committed an offence under this section.
Explanation 2: A person who finds property not in the possession of any other person, and takes such property for the purpose of protecting it for, or of restoring it to, the owner, does not take or misappropriate it dishonestly, and is not guilty of an offence; but he is guilty of the offence above defined if he appropriates it to his own use, when he knows or has the means of discovering the owner, or before he has used reasonable means to discover and give notice to the owner and has kept the property a reasonable time to enable the owner to claim it.
What are reasonable means or what is a reasonable time in such a case, is a question of fact. It is not necessary that the finder should know who is the owner of the property, or that any particular person is the owner of it; it is sufficient if, at the time of appropriating it, he does not believe it to be his own property, or in good faith believes that the real owner cannot be found.
Illustrations.
(a) A finds a rupee on the high road, not knowing to whom the rupee belongs, and picks up the rupee. Here, A has not committed the offence defined in this section.
(b) 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.
(c) A finds a cheque payable to 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 favour the cheque was drawn. A appropriates the cheque without attempting to discover the owner. He is guilty of an offence under this section.
(d) A sees Z drop his purse with money in it. A picks up the purse with the intention of restoring it to Z, but afterwards appropriates it to his own use. A has committed an offence under this section.
(e) A finds a purse with money, not knowing to whom it belongs; he afterwards discovers that it belongs to Z and appropriates it to his own use. A is guilty of an offence under this section.
(f) 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.
Simplified Explanation
Section 314 of the Bharatiya Nyaya Sanhita, 2023 (BNS 2023) deals with the dishonest misappropriation of property. It specifically criminalizes the act of taking property and converting it to one’s own use without the owner’s consent, with an element of dishonesty involved. Here’s a detailed explanation of this section:
Key Elements of Section 314:
- Dishonest Misappropriation or Conversion:
- Dishonest misappropriation means taking someone else’s property with the intention of using it for personal benefit, without the owner’s consent and with no intention of returning it.
- Conversion to one’s own use refers to situations where a person takes possession of property and uses it as if it belongs to them, even though they know or should know it belongs to someone else.
- Punishment:
- The offender will be punished with imprisonment of either description (i.e., simple or rigorous) for a term not less than six months, but which may extend to two years, along with a fine.
- Illustrations:
- These provide examples of scenarios that clarify how the law applies in different situations.
- Example 1:
- A takes property from Z, believing it belongs to him (in good faith), but later discovers the property belongs to Z. If A then dishonestly appropriates it (i.e., keeps it for himself), he is guilty under this section. The key here is the dishonest intent after discovering the error.
- Example 2:
- A takes a book from Z’s library, believing that Z has implicitly given consent. If A then sells the book for his own benefit, it becomes an offense under this section because dishonesty is established once A converts the book to his use for personal gain.
- Example 3:
- A and B are joint owners of a horse, but A takes the horse intending to use it. As A has a right to use the horse, there is no dishonesty here. However, if A sells the horse and keeps the entire proceeds for himself, this constitutes dishonest misappropriation, making it an offense under this section.
Explanations:
- Explanation 1:
- Dishonest misappropriation for a time is still considered misappropriation. For example, if A finds a promissory note belonging to Z and pledges it with a banker to secure a loan, intending to return it later, it is still an offense because A has dishonestly converted the property to his own use, even if the intention is to restore it later.
- Explanation 2:
- A person who finds property and takes it with the intent to protect or restore it to the owner is not guilty unless they convert the property to their own use. If the person knows or could discover the owner’s identity and yet decides to keep the property for themselves, it constitutes dishonest misappropriation.
- Reasonable Means & Time:
- The finder of property is expected to make reasonable efforts to find the owner and return the property. What is considered “reasonable” depends on the situation and is a question of fact. For instance, if A finds an item but makes no effort to discover its owner or keeps it for an unreasonable time, this can lead to a misappropriation charge.
- The finder is not guilty if they genuinely don’t know the owner or have no way to find out who the owner is, as long as they don’t keep the property for an unreasonable amount of time before attempting to return it.
Illustrations (Continued):
- A finds a rupee on the road and doesn’t know who the owner is. A is not guilty because A did not act dishonestly.
- A finds a letter containing a bank-note, learns who it belongs to, and then appropriates it for himself. A is guilty under this section because he knowingly took the property after discovering the owner.
- A finds a cheque payable to bearer, knows it can lead to the owner, but keeps it without trying to discover the owner. A is guilty of misappropriation.
- A finds Z’s purse, initially intending to return it but later keeps it for himself. A has committed an offense under this section because he dishonestly converted the property to his own use.
- A finds a purse with money and later discovers it belongs to Z. A is guilty if he keeps the money, as he converted it dishonestly to his use.
- A finds a valuable ring and immediately sells it without attempting to find the owner. This is dishonest misappropriation and is an offense.
Summary:
Section 314 criminalizes the dishonest misappropriation or conversion of property. It applies to individuals who take property and use it for their own benefit without consent and with dishonest intent. The section ensures that finders of lost property who attempt to keep it or use it without making reasonable efforts to return it will be held accountable. The punishment includes imprisonment for six months to two years and a fine, depending on the severity of the offense.
