Which BNS sections apply when someone demands a GST advance or RBI NOC fee before buying your note?
A person who demands a registration fee, NOC fee, GST advance, or processing charge from a note holder under the false pretence that this is a legal requirement for completing a sale commits multiple BNS offences simultaneously: Section 318 (cheating — false representation + dishonest inducement); Section 336 (impersonation of public servant — if claiming to be RBI/government); and Section 340 (forgery — if fake government certificates or RBI letterhead are provided). The combination carries serious cumulative penalties and is the strongest possible basis for a police complaint and cybercrime prosecution.
BNS Section 318 — cheating (the primary offence)
Section 318 of the BNS 2023 defines cheating as: whoever deceives any person, and by such deception fraudulently or dishonestly induces the person to deliver any property or to consent to the retention of any property by any person, commits cheating. Punishment: imprisonment up to 3 years (or 7 years if the cheating involves a false claim of government authority). The elements: (a) deception (falsely representing that a government fee is required); (b) inducement (the victim pays the fee believing the representation); (c) property delivered (the payment amount). All three elements are satisfied at the moment the first fee is paid.
BNS Section 336 — impersonation of public servant (enhanced penalty)
Section 336 of the BNS 2023 provides that whoever, by words spoken or written or by signs or by visible representations or otherwise, falsely personates a public servant and in such assumed character does, or attempts to do, any act, shall be punished with imprisonment of either description for a term which may extend to 5 years. When the scammer claims to be an 'RBI officer who processes note sale clearances,' or uses fake RBI letterhead or ID cards, they are impersonating a public servant. This is a separate, additional offence to Section 318 cheating — the scammer faces charges under both.
BNS Section 340 — forgery (where fake documents are used)
When the scammer provides a fake 'RBI valuation certificate,' a forged government letterhead, or a fabricated 'clearance document' as part of the fraud, they have committed forgery under BNS Section 340: making a false document with intent to cause injury to another, to defraud, or to cause another to part with property. Punishment: imprisonment up to 2 years (and up to 7 years for forgery of government documents under Section 344). The forged certificate is itself a cognisable offence, independent of whether the victim actually paid.
BNS sections for fake valuation and registration fee scams BNS §318 (Cheating): false representation + dishonest inducement to pay; up to 3 years (up to 7 years if government authority falsely claimed) BNS §336 (Impersonation of public servant): claiming to be RBI officer / government official; up to 5 years BNS §340 (Forgery): fake RBI certificates, government letterhead, valuation documents; up to 2 years (up to 7 years for government document forgery under §344) IT Act §66D (Cheating by personation using computer resources): online impersonation; up to 3 years ALL applicable sections should be cited in the FIR — scammer faces cumulative prosecution on multiple counts |
Laws & authorities referenced in this chapter
BNS 2023 — §318 (cheating: false representation + dishonest inducement to pay; up to 3/7 years)
BNS 2023 — §336 (impersonation of public servant: fake RBI/government authority claim; up to 5 years)
BNS 2023 — §340 (forgery: fake certificates, government letterhead; up to 2/7 years)
IT Act 2000 — §66D (cheating by personation using computer resources: online fraud)
BNSS 2023 — §173 (FIR procedure: cite all applicable sections; UPI record as primary evidence)
BNS sections for fake registration fee scams: §318 cheating (primary; up to 3/7 years); §336 impersonation of public servant if RBI/government claimed (up to 5 years); §340 forgery if fake certificates/letterhead provided (up to 2/7 years); IT Act §66D cheating by personation online. File FIR citing all applicable sections. UPI transaction record (UTR + recipient ID) + scammer's WhatsApp messages + fake documents = complete evidence package. Report simultaneously to cybercrime.gov.in and call 1930.
This is educational content, not legal advice. For a specific situation, please consult a qualified legal professional. Excerpted from Currency, Coins & The Law by Mayank Agarwal, Part 37: The Great Numismatic Fraud Patterns — Fake Valuations, Registration Fee Scams, RBI Impersonation, Forged PMG Certificates, Identity Theft, Five-Step Protection Protocol.