Possessing large sum of cash without documents not an offence: HC

High Court of Karnataka
The High Court has clarified that possessing a large sum of cash, without official documents proving it was obtained through theft or deception, does not constitute an offense under Section 98 of the Karnataka Police Act, unless it is proven that the money was stolen or acquired through fraud.
Bengaluru: The High Court has clarified that possessing a large sum of cash, without official documents proving it was obtained through theft or deception, does not constitute an offense under Section 98 of the Karnataka Police Act, unless it is proven that the money was stolen or acquired through fraud.
In a recent case related to the seizure of 8.38 lakh rupees without any official documentation during the Challekare check-post, the petitioner, R. Amarnath from Andhra Pradesh, challenged the case. A single-judge bench led by Justice Hemant Chandangouda examined the matter and issued this order.
The court explained that in such cases, to prove the offense, it must be established that the cash was either stolen or obtained through deception. After reviewing the case documents, the court noted that under Section 98 of the Police Act, possession of non-cognizable offenses (which include certain cases of illegal possession of cash) is not considered a punishable offense unless the theft or deception is proven.
Furthermore, according to Section 155(2) of the Criminal Procedure Code, police are required to obtain prior permission from a magistrate before investigating non-cognizable offenses. The court observed that in this case, such permission was not obtained.
The court also stated that there was no reasonable suspicion or evidence to suggest that the cash was stolen or obtained through fraudulent means. Without such evidence or suspicion appearing in the records, the essential elements to prove an offense under Section 98 are missing.
Continuing to pursue charges in such circumstances would constitute misuse of legal processes.
Therefore, the court ordered the cancellation of the case registered by the Challekare police against the petitioner and dismissed the complaint.

















