Conviction under IPC sections requires clear evidence of knowledge of counterfeit nature and intent to use as genuine. Mere possession or weak witness testimony is insufficient for a valid conviction.

JUDGMENT

The accused Nos.2 and 3 in Sessions Case No.135 of 2006 on the file of the Additional Sessions Court, Kottayam, have filed these appeals, being aggrieved by the judgment dated 3.4.2008 whereby they have been found guilty of offences under Section 489B and C of the Indian Penal Code and have been convicted and sentenced to undergo rigorous imprisonment for a period of 2 years and to pay a fine of Rs. 5,000/- each for the offence under of I.P.C., and in default of payment of fine to undergo rigorous imprisonment for a further period of 3 months. For the offence under Section 489C of the I.P.C, they have been sentenced to undergo rigorous imprisonment for a period of one year and to pay a fine of Rs.5,000/- each, and in case of default in payment of fine to undergo rigorous imprisonment for a further period of 3 months. The substantive sentences are to run concurrently and set off has been allowed for the period of detention already undergone by both the accused.

2. Heard Sri M.P.Madhavankutty, counsel for the appellant in Crl.Appeal No.848 of 2008 and Sri V.K.Sunil, counsel for the appellant in Crl.Appeal No.802 of 2008 and the Public Prosecutor on behalf of the State.

3. A total number of 10 persons were charge sheeted for having committed the offences punishable under sections 489B and C read with Section 34 of the Indian Penal Code, by the Deputy Superintendent of Police, CBCID(CFS), Ernakulam in Crime No. 268/1998 of Gandhinagar Police Station. The case of the prosecution is that, the accused in furtherance of their common intention, engaged in the trafficking of counterfeit Indian currency notes having the denomination of Rs.100/- worth Rs.40,000/-, and counterfeit Saudi Riyal having a denomination of 500. On 1.8.1998, PW1, a Fish Vendor, received two Rs.100/- denomination Indian currency notes as the price for fish, which had been sold to Karuna hotel, situated at Gandhinagar near Medical College, Kottayam. On coming to know that the said currency notes were counterfeit currency notes, the matter was informed to the Gandhinagar Police on the same day itself. The prosecution proceeded against the 1 st accused, who was alleged to be the owner of Karuna Hotel. PW19 the Sub Inspector, on the same day, seized 2 counterfeit currency notes having denomination of Rs.100/- from Karuna Hotel, and subsequently during the course of investigation, on 3.8.1998, he is stated to have recovered counterfeit currency notes having denomination of Rs.100/- from the possession of the 2 nd accused and the 4 th accused and counterfeit Saudi Riyal having denomination of 500, and counterfeit currency notes of Rs.100/- denomination from the possession of the 5 th accused. It is the case of the prosecution that the accused were involved in the trafficking of counterfeit currency notes, knowing the same to be forged and intending to use the same as genuine. It is the specific case of the prosecution that on 3.8.1998 at 2:30 PM, PW19 apprehended the 2 nd accused and on the basis of the information given by the 2 nd accused, MO4 series of 94 counterfeit currency notes having denomination of Rs.100/- were recovered as per Exhibit P9 seizure mahazar. On the same day, MO6 series of 96 counterfeit currency notes were seized from the possession of the 4 th accused Murukan and MO8 and MO9 series counterfeit currency notes having denomination of Rs.100/- and MO10 series of 17 Saudi Riyals having denomination of 500 were recovered from the possession of the 5 th accused and the accused 4 and 5 were arrested at 6:15 PM on 3.8.1998. The seized contraband articles