Whoever, being a clerk, officer or servant, or employed or acting in the capacity of a clerk, officer or servant, willfully, and with intent to defraud, destroys, alters, mutilates or falsifies any book, electronic record, paper, writing, valuable security or account which belongs to or is in the possession of his employer, or has been received by him for or on behalf of his employer, or willfully, and with intent to defraud, makes or abets the making of any false entry in, or omits or alters or abets the omission or alteration of any material particular from or in. any such book, electronic record, paper, writing, valuable security or account, shall be punished with imprisonment of either description for a term which may extend to seven years, or with fine, or with both.
Explanations
- It shall be sufficient in any charge under this section to allege a general intent to defraud without naming any particular person intended to be defrauded or specifying any particular sum of money intended to be the subject of the fraud, or any particular day on which the offence was committed.
IPC Section 477A: Simplified Explanation
IPC Section 477A of the Indian Penal Code (IPC) deals with the offence of falsification of accounts. This section targets individuals who, with intent to defraud, falsify any book, electronic record, or document that the law requires to be kept or who intentionally omits to make a true entry or alters, abets, or is privy to the alteration of any entry in such books or records.
The primary aim of this provision is to prevent and penalise any manipulation or tampering with accounts and other official records, which could lead to misrepresentation of financial conditions, evasion of obligations, or other forms of economic deceit. It is crucial for maintaining transparency and accountability in financial and business operations.
Is IPC Section 477A Bailable?
IPC Section 477A is non-bailable. This means that the accused does not automatically have the right to bail, and the court grants bail at its discretion. The decision is based on factors such as the severity of the offence, the accused’s past conduct, and the potential risk to society if the accused is released.
IPC Section 477A Punishment
The Punishment for falsifying accounts under IPC Section 477A is imprisonment for a term that may extend to seven years and liable to a fine. This reflects the serious nature of the offence and the potential widespread harm that falsifying financial records can cause, including undermining economic stability and trust.
Example of IPC Section 477A
A real-life example of an offence under IPC Section 477A could involve a case where a company’s CFO manipulates the financial statements to show a healthier financial status than actually to attract investors or secure loans. Suppose the CFO alters revenue figures, omits liabilities, or fabricates expenses in the official accounts. If this manipulation is discovered, especially if intended to defraud investors or financial institutions, the CFO would be prosecuted under IPC Section 477A for deliberately falsifying accounts. This ensures accountability and upholds the integrity of financial reporting and business conduct.
IPC Section 478: Explanation
Section 478 of the Indian Penal Code (IPC) addresses the offence of possessing counterfeit seals, plates, etc., with the intent to commit forgery. This section specifically targets individuals who, without lawful authority, possess any counterfeit seal, plate, or other instrument for the purpose of creating forged documents.
This provision’s primary objective is to prevent the use of counterfeit tools in the creation of forged documents, thereby protecting the integrity of official and legal documentation. It targets the preparatory stage before actual forgery as a deterrent against producing forged documents.
