Section 318(4) of The Bhartiya Nyaya Sanhita

318(4). Cheating and dishonestly inducing delivery of property.— Whoever cheats and thereby dishonestly induces the person deceived to deliver any property to any person, or to make, alter or destroy the whole or any part of a valuable security, or anything which is signed or sealed, and which is capable of being converted into a valuable security, shall be punished with imprisonment of either description for a term which may extend to seven years, and shall also be liable to fine.

Section 318(4) BNS is basically the same as Section 420 IPC.

Explanatory note:

Multiple Choice Questions for the AIBE Exams

Q1. What is the maximum term of imprisonment under Section 318(4) of the Bharatiya Nyaya Sanhita for cheating and dishonestly inducing delivery of property?

A) 3 years
B) 5 years
C) 7 years
D) 10 years

Answer: C) 7 years
Explanation: Section 318(4) prescribes imprisonment up to 7 years for cheating and dishonestly inducing delivery of property or tampering with valuable security.

Q2. Section 318(4) BNS applies when a person:

A) Steals property secretly at night
B) Cheating someone and inducing dishonest delivery of property
C) Kills someone in self-defense
D) Commits cybercrime

Answer: B) Cheating someone and inducing dishonest delivery of property
Explanation: Section 318(4) is specific to cheating combined with dishonest inducement to deliver property or alter/destroy valuable security.

Q3. Under Section 318(4) BNS, a person who cheats and dishonestly induces another to make or destroy a valuable security is:

A) Not punishable unless money is involved
B) Liable only for civil damages
C) Liable for criminal punishment
D) Punished only with fine

Answer: C) Liable for criminal punishment
Explanation: Section 318(4) criminalizes cheating that leads to tampering with valuable security, and such acts are punishable with imprisonment and fine.

Q4. What additional liability is imposed under Section 318(4) BNS apart from imprisonment?

A) Community service
B) Compensation to victim
C) Fine
D) Seizure of property

Answer: C) Fine
Explanation: Section 318(4) clearly states that the offender “shall also be liable to fine”, in addition to imprisonment.

Q5. Which of the following best defines “valuable security” under Section 318(4) BNS?

A) Only gold and silver
B) Any property stored in a vault
C) Any document signed/sealed and capable of being converted into a valuable asset
D) Cryptocurrency only

Answer: C) Any document signed/sealed and capable of being converted into a valuable asset
Explanation: The term “valuable security” refers to documents (like cheques, contracts, bonds, etc.) which are signed or sealed and hold financial or legal value.

Q6. Which of the following is an essential element under Section 318(4) BNS?

A) Physical harm to the victim
B) Cheating and dishonest inducement
C) Use of force or violence
D) Theft at night

Answer: B) Cheating and dishonest inducement
Explanation: The section clearly hinges on “cheats and thereby dishonestly induces” — both elements must be present for liability under this provision.

Q7. Section 318(4) of the BNS is primarily based on which section of the Indian Penal Code (IPC)?

A) Section 420 IPC
B) Section 376 IPC
C) Section 302 IPC
D) Section 406 IPC

Answer: A) Section 420 IPC
Explanation: Section 318(4) of the BNS corresponds to Section 420 of the IPC, which also deals with cheating and dishonestly inducing delivery of property.

Q8. A person induces another by false promise to sign over a valuable property deed. Under Section 318(4) BNS, this act is considered:

A) Breach of contract
B) Civil negligence
C) Cheating and dishonest inducement
D) Lawful transaction

Answer: C) Cheating and dishonest inducement
Explanation: Using deception to get someone to sign over a property deed qualifies as cheating and dishonest inducement under Section 318(4).

Final Thoughts

Section 318(4) of the Bhartiya Nyaya Sanhita deals with cheating and dishonest acts that make someone give away their property or important documents. In simple words, this law protects people from fraud, scams, and deception that cause financial or material loss.

The section starts with “Whoever cheats,” which means it applies to any person who intentionally deceives another. Cheating is not just telling a lie; it is an act done to trick someone into giving away money, property, or valuables.

It further says “dishonestly induces the person deceived to deliver any property to any person.” This means if someone lies or tricks another person and, because of that, the person gives away money, goods, or property, it counts as cheating. For example, if someone promises to sell a car but takes the buyer’s money without delivering the car, it is cheating under this law.

The section also covers acts like making, altering, or destroying “the whole or any part of a valuable security, or anything which is signed or sealed, and which is capable of being converted into a valuable security.” This means it is illegal to tamper (change or destroy) with important documents such as contracts, certificates, or promissory notes in a dishonest way.

As for punishment, anyone found guilty under Section 318(4) can be imprisoned for up to seven years. In addition, they may also have to pay a fine. This shows that the law treats cheating very seriously, whether it involves money, property, or important documents.

In short, Section 318(4) protects honest people from those who use lies or fraud to take property or tamper with important documents. Anyone guilty under this section can face severe consequences, including jail and fines. This law is essential to maintain trust in business, banking, and personal transactions in India.