BNSS Section 121 — Fine in lieu of forfeiture

Summary

If a court decides that only part of a property was obtained from an unexplained source, it cannot automatically forfeit the whole property. Instead, the court must give the person the option to pay a fine equal to the market value of that part, instead of losing the property. Before imposing this fine, the court must give the person a fair chance to be heard. If the person pays the fine within the time allowed by the court, the court can cancel the forfeiture order and release the property.

Official Text

(1) Where the Court makes a declaration that any property stands forfeited to the Central Government under section 120 and it is a case where the source of only a part of such property has not been proved to the satisfaction of the Court, it shall make an order giving an option to the person affected to pay, in lieu of forfeiture, a fine equal to the market value of such part.

(2) Before making an order imposing a fine under sub-section (1), the person affected shall be given a reasonable opportunity of being heard.

(3) Where the person affected pays the fine due under sub-section (1), within such time as may be allowed in that behalf, the Court may, by order, revoke the declaration of forfeiture under section 120 and thereupon such property shall stand released.

Related Judgments

• SC (2025) Vol.5 p.730 — Supreme Court of India (2025)
• SC (2025) Vol.6 p.545 — Supreme Court of India (2025)
• SC (2024) Vol.7 p.979 — Supreme Court of India (2024)
• .. Petitioner/Accused No.12 vs The State of Tamilnadu, — Madras High Court ()
• SC (2025) Vol.2 p.1588 — Supreme Court of India (2025)
• SC (2025) Vol.1 p.1469 — Supreme Court of India (2025)
• SC (2025) Vol.3 p.1309 — Supreme Court of India (2025)
• SC (2025) Vol.11 p.291 — Supreme Court of India (2025)