Section 420 of The Indian Penal Code

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

Explanatory note:


Multiple Choice Questions for the AIBE Exams


Q1. What is the maximum punishment under Section 420 of the Indian Penal Code?

A. 3 years imprisonment and fine
B. 5 years imprisonment and fine
C. 7 years imprisonment and fine
D. Life imprisonment

Answer: C. 7 years imprisonment and fine
Explanation: Section 420 IPC provides for imprisonment of either description for a term which may extend to seven years, and also makes the person liable to fine.


Q2. Which of the following elements are essential for the offence under Section 420 IPC?

A. Mere breach of contract
B. Dishonest inducement and cheating
C. Loss of property without inducement
D. Intention to defame

Answer: B. Dishonest inducement and cheating
Explanation: Section 420 IPC requires cheating and dishonestly inducing the deceived person to deliver property or alter/destroy a valuable security.


Q3. Under Section 420 IPC, the offence is committed when:

A. A person forgets to return borrowed money
B. A person unintentionally causes loss
C. A person dishonestly induces another to deliver property
D. A person refuses to perform a contract

Answer: C. A person dishonestly induces another to deliver property
Explanation: The key ingredient is dishonest inducement after cheating, leading the victim to deliver property or alter/destroy a valuable security.


Q4. Which of the following is not required to constitute an offence under Section 420 IPC?

A. Intention to deceive
B. Delivery of property
C. Use of physical force
D. Dishonest inducement

Answer: C. Use of physical force
Explanation: Section 420 deals with cheating and dishonest inducement, not physical force. It is a non-violent economic offence.


Q5. “Valuable security” in Section 420 IPC refers to:

A. Gold or jewellery
B. Any document which can be legally enforced
C. Any movable property
D. Electronic gadgets

Answer: B. Any document which can be legally enforced
Explanation: A valuable security is defined under Section 30 IPC and refers to a document creating or extinguishing a legal right.


Q6. Section 420 IPC is classified as a:

A. Bailable and non-cognizable offence
B. Non-bailable and non-cognizable offence
C. Bailable and cognizable offence
D. Non-bailable and cognizable offence

Answer: D. Non-bailable and cognizable offence
Explanation: Cheating under Section 420 IPC is considered a serious offence, and is therefore cognizable (police can arrest without warrant) and non-bailable.


Q7. Which of the following is an example of an offence under Section 420 IPC?

A. Not paying electricity bill
B. Selling fake gold as real gold knowingly
C. Failing to attend a court hearing
D. Causing hurt to someone

Answer: B. Selling fake gold as real gold knowingly
Explanation: This involves cheating and dishonest inducement to deliver money/property based on false representation.


Q8. To prosecute someone under Section 420 IPC, which of the following must be proved?

A. Mere breach of contract
B. Criminal intention at the time of inducement
C. Post-transaction failure
D. Civil liability

Answer: B. Criminal intention at the time of inducement
Explanation: For Section 420 IPC, intention to cheat must exist at the very beginning of the transaction, not developed later.


Q9. Under Section 420 IPC, the inducement must result in:

A. Emotional distress
B. Civil liability
C. Delivery of property or alteration of valuable security
D. Mere inconvenience

Answer: C. Delivery of property or alteration of valuable security
Explanation: The section clearly states that cheating must lead to delivery of property or making, altering, destroying valuable security.


Q10. Which of the following is a correct pair?

A. Section 415 – House trespass
B. Section 420 – Dishonestly inducing delivery of property
C. Section 441 – Cheating
D. Section 379 – Criminal breach of trust

Answer: B. Section 420 – Dishonestly inducing delivery of property
Explanation: Section 420 deals specifically with cheating and dishonestly inducing delivery of property. Other options are mismatched.

Final Thoughts


Section 420 of the Indian Penal Code deals with cheating and dishonestly inducing someone to give their property. In simple words, it is about tricking or deceiving someone so that they hand over or give you their property, money, goods, or other valuable things, or make changes to important documents, all under false pretences. This law exists to protect people from frauds, scams, and dishonest tricks.

The first part of Section 420 says that if a person cheats someone and, because of this cheating, dishonestly convinces the victim to give property to someone, it is an offence. Property here can mean money, goods, or any valuable item. For example, if a person promises a fake business deal or investment opportunity and collects money from someone, this is cheating under Section 420. Another example is a person selling a car that doesn’t exist and taking money from the buyer.

The section also covers situations where the cheater induces a person to make, alter, or destroy a valuable security. Valuable securities include share certificates, bonds, promissory notes, or legal documents with financial value. So, if someone tricks another to sign a fake agreement, change a cheque, or destroy an important document for personal gain, it comes under Section 420. For instance, forging someone’s signature on a property sale deed to transfer ownership illegally is a crime under this section.

Another important point is that Section 420 also applies to anything signed or sealed that can be converted into a valuable security. Even if the item does not have immediate monetary value, cheating related to it is punishable. For example, falsifying a document that can later be used to get a loan or a financial benefit is also covered under this law.

Regarding punishment, Section 420 is strict. A person convicted under this section can face imprisonment of up to seven years. Along with jail, the court may also impose a fine, which depends on the case and the extent of loss caused. This shows that the law treats cheating and dishonesty very seriously because it can potential harm individuals and society.

In everyday life, Section 420 is commonly applied in bank frauds, online scams, business deceptions, and property disputes. For example:

The main purpose of this law is to protect innocent people and ensure honesty in all transactions. It serves as a warning to anyone who thinks of using lies or fraud to gain property or financial benefit.

In short, Section 420 IPC is all about cheating and dishonesty that leads a person to lose their property or valuable documents. It provides legal protection to the victim and punishes the wrongdoer, ensuring that fraud and deception are not tolerated in society.