Mere Possession of Fake Currency Not Enough for Conviction: Kerala High Court

The Kerala High Court acquitted a man who had been convicted 38 years ago for possessing a counterfeit 100-dollar note, holding that mere possession of fake currency does not attract Section 489C of the Indian Penal Code.

The Court ruled that a conviction requires proof that the accused knew the note was counterfeit and intended to circulate it as genuine. Since the prosecution failed to establish such intent, and witnesses turned hostile.

The Court found the conviction unsustainable. It emphasised that suspicion cannot substitute proof in criminal trials and set aside the lower court’s findings. 

[Abdul Hakkim v State of Kerala]