Bharatiya Nyaya Sanhita, 2023 — Section 202

Public Servant Unlawfully Engaging in Trade

Section 202 punishes a public servant who, being legally bound as such not to engage in trade, nonetheless engages in trade, with simple imprisonment of up to one year, or fine, or both, or with community service.

Please note: This page reflects our understanding of the law as of the date it was last reviewed. Parliament, the State Legislatures, and the courts continue to amend and interpret this law, and this page may not yet reflect the most recent change. Please verify the current text of the law independently, and consult a licensed advocate for advice on your own matter, before relying on this page.

Corresponding Provision Under Prior Law

Verified against the National Crime Records Bureau's official BNS–IPC concordance (Sankalan Portal), which maps Section 202 to old IPC Section 168, and independently against the text of Section 168 itself as found in the edition of the Indian Penal Code, 1860 consulted for this book.

BNS section	IPC, 1860 equivalent	Category
202	168	Substantively changed

Substantively changed: the operative conduct, mental element, and imprisonment/fine punishment are identical to old IPC Section 168. Section 202 adds "or with community service" as an additional sentencing option not present in the old law.

Quick Reference

Per the First Schedule to the Bharatiya Nagarik Suraksha Sanhita, 2023: punishable with simple imprisonment for 1 year, or fine, or both, or community service — non-cognizable, bailable, and triable by a Magistrate of the first class. Not compoundable: Section 202 appears in neither compounding table of Section 359 of the Bharatiya Nagarik Suraksha Sanhita, 2023. In the First Schedule, “Magistrate of the first class” does not include Executive Magistrates (Explanatory Note (2)).

Statutory Text (Verbatim)

Whoever, being a public servant, and being legally bound as such public servant not to engage 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 or with community service.

Source: Bharatiya Nyaya Sanhita, 2023 (Act No. 45 of 2023), as published in the Gazette of India Extraordinary.

Explanation & Illustration (Lexovia's Commentary — Not Statutory Text)

Engaging in trade while legally bound not to

Explanation (Lexovia's Commentary)

A public servant who, in that capacity, is legally bound not to engage in trade, but who nonetheless does so, commits this offence. The provision does not require any additional element of intent to cause injury or dishonesty; the mere act of engaging in trade while under such a legal bar is sufficient.

Illustration (Lexovia's Own Example)

A government employee, bound by service rules not to engage in any trade or business, secretly runs a trading business on the side. This falls within Section 202.

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Related / Cross-Referenced Sections

FAQs

Does this section require proof of any dishonest intent?

No. The provision only requires that the public servant be legally bound not to engage in trade, and that they engage in trade anyway.

What is the punishment under this section?

Simple imprisonment for a term which may extend to one year, or fine, or both, or community service.

What changed compared to the old law?

Community service has been added as an additional sentencing option. The conduct and the imprisonment/fine punishment remain the same as under old IPC Section 168.