IPC Section 404

Section 404 IPC – Dishonest Removal or Disposal of Property by Person Entrusted with it

Essence of the Section

Section 404 deals with cases where a person is entrusted with property (like money, goods, or valuables) and dishonestly misappropriates it or disposes of it in violation of trust.

Key Ingredients

Entrustment of Property

The person must have been entrusted with property by another.

Examples:

A cashier entrusted with cash.

A servant entrusted with household valuables.

An employee entrusted with company goods.

Dishonest Misappropriation or Disposal

The entrusted person dishonestly converts, uses, or disposes of the property for their own benefit or in a way contrary to the trust.

Intention

The act must be intentional and dishonest, not accidental.

Punishment

Imprisonment: Up to 3 years, or

Fine, or

Both

Examples

A servant is entrusted with money to pay bills but keeps it for himself.

An employee is given company goods for delivery but sells them illegally.

A person is entrusted with gold ornaments for safekeeping but misappropriates them.

Purpose of Section 404

To protect property entrusted to someone.

To ensure trust is respected in personal and business relationships.

To punish those who abuse positions of trust for personal gain.

In summary:
Section 404 IPC punishes a person who is entrusted with property and dishonestly misappropriates or disposes of it, with imprisonment up to 3 years, fine, or both.

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