Public servant unlawfully engaging in trade
Section 168 of the Indian Penal Code, 1860 deals with public servant unlawfully engaging in trade. Whoever, being a public servant, and being legally bound as such public servant not to engages in trade, engages in trade, shall be punished with simple imprisonment for a term which may extend to one year, or with fine, or with both. The Act came into force on 01 Jan 1862. Repealed by section 358 of the Bharatiya Nyaya Sanhita, 2023 (45 of 2023) with effect from 1 July 2024, but conduct before that date is still charged, tried and appealed under it.
Whoever, being a public servant, and being legally bound as such public servant not to engages in trade, engages in trade, shall be punished with simple imprisonment for a term which may extend to one year, or with fine, or with both.
Section 168, The Indian Penal Code, 1860 (Act 45 of 1860).
Now in the Bharatiya Nyaya Sanhita
BNS 202 Public servant unlawfully engaging in trade Text carried over almost unchanged 95%
Measured by comparing the text of the two provisions, not taken from an official correspondence table — there is no machine-readable one. See both texts side by side before relying on it.
Both regimes are live. The repealed enactment still governs what happened while it was in force. We never redirect one to the other.
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Referred to by 47
- Arunachal Pradesh Municipal Act, 2Oo7 (Act No.4 of 2008) s. 457
- Assam Municipal Corporation Act s. 359
- Cantonments Act s. 37 Disqualification of person as an employee of Board
- Chhattisgarh Griha Nirman Mandal Adhiniyam s. 80
- Dadra and Nagar Haveli and Daman and Diu Housing Board Act s. 103 Punishment for acquiring share or interest in contract, with Board
- Goa, Daman and Diu Housing Board Act s. 103 Punishment for acquiring share or interest in contract, with Board
- Goa Housing Board Act s. 103 Punishment for acquiring share or interest in contract, with Board
- Goa Rehabilitation Board Act s. 91 Punishment for acquiring share or interest in contract with Board
- Greater Hyderabad Municipal Corporation Act s. 367
- Gujarat Maritime Board Act s. 100
- Gujarat Maritime Board Act s. 101
- Gujarat Provincial Municipal Corporations Act s. 395
and 35 more
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Rasik Behari Mathur vs State
Court's Decision & Legal Precedent
A public servant cannot be prosecuted under Section 168 IPC for merely providing his signature on family property documents for obtaining a loan when: (1) he has already notified his employer about the family business involvement; (2) the property has been legitimately partitioned among family members; (3) his signature is required only as a formality since the original title is in his name; and (4) a single transaction or isolated act cannot constitute 'trade' within the meaning of Section 168 IPC. Similarly, criminal misconduct under Section 13(1)(d) of the Prevention of Corruption Act cannot be established merely by virtue of a public servant owning family property or providing signature for family loan transactions without evidence of corrupt or illegal means of obtaining pecuniary advantage or abuse of official position.
On this section: Public servant unlawfully engaging in trade - primary issue; court held that mere provision of signature for family loan does not constitute 'trade' and single transaction cannot be characterized as trade
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Questions about Section 168
What have the courts held on Section 168 of the Indian Penal Code?
Rasik Behari Mathur vs State (28 May 2007) is the leading judgment on this section among those set out below: Public servant unlawfully engaging in trade - primary issue; court held that mere provision of signature for family loan does not constitute 'trade' and single transaction cannot be characterized as trade.
How do I find court cases under Section 168 of the Indian Penal Code?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: IPC 168, section 168 IPC, section 168 of the Indian Penal Code. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Rasik Behari Mathur vs State (28 May 2007).
What should I read with Section 168 of the Indian Penal Code, and has it changed?
47 other provisions in this corpus refer back to it. For anything done on or after 1 July 2024 the provision to read is BNS 202 (Public servant unlawfully engaging in trade), which replaced it; conduct before that date is still charged, tried and appealed under this section.
When did Section 168 of the Indian Penal Code come into force?
Section 168 of the Indian Penal Code, cited as IPC 168, came into force on 01 Jan 1862, having been enacted on 06 Oct 1860. It is no longer in force.
Other sections of this Act
- 499. Defamation1512 words
- 464. Making a false document1223 words
- 300. Murder1172 words
- 378. Theft980 words
- 108. Abettor745 words
- 403. Dishonest misappropriation of property727 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Recovered from the consolidated text published by India Code (item 7b7d4fe6-206b-4e33-81f1-b98b018acaf6). This page is not a substitute for legal advice.