# Fake note? Spending it is a crime. > Using a forged or counterfeit currency note as genuine, knowing or having reason to believe it is fake, is an offence under section 489-B PPC: imprisonment for life, or up to 10 years, and fine. Keeping fakes to use them is up to 7 years (s.489-C). - Topic: Criminal law - For: Citizens - A 12-slide carousel: https://failegal.site/media/fake-note-spending-it-is-a-crime - Published by FAI Legal on 2026-10-23 ## Myth or fact? What people often think. - **Myth: Someone gave it to me, so I can pass it on.** - **Fact: Using a note as genuine when you know or have reason to believe it is fake: life, or up to 10 years (PPC s.489-B).** ## The law. Section 489-B, PPC. > "Whoever sells to, or buys or receives from, any other person, or otherwise traffics in or uses as genuine, any forged or counterfeit currency-note or bank-note, knowing or having reason to believe the same to be forged or counterfeit, shall be punished with imprisonment for life, or with imprisonment of either description for a term which may extend to ten years, and shall also be liable to fine." (Pakistan Penal Code, 1860 · Section 489-B) ## Four crimes. Sections 489-A to 489-D. - **Making, s.489-A** Life, or up to 10 years, and fine. - **Using or trading, s.489-B** Life, or up to 10 years, and fine. - **Keeping to use, s.489-C** Up to 7 years, or fine, or both. - **Tools, s.489-D** Life, or up to 10 years, and fine. ## Knowing is the key. PLD 2008 Kar. 325, Sindh High Court. - **The facts** A Rs.500 note at a shop. No witness spoke of what he knew. - **The holding** Mere possession is not an offence without knowledge or intention. - **The result** Acquitted. ## Quick quiz. Who says fake? Guess first, then swipe for the answer. - **A. Yes, police can tell** - **B. No, a report was needed** - **C. Only for small notes** ## Answer: B. 2020 YLR 1751. Gilgit-Baltistan Chief Court. - **The holding** A State Bank currency officer's report was needed. - **Police** Not competent to say the notes were forged. - **The result** Acquitted. ## Holding is not using. 1984 PCrLJ 1281, Sindh High Court. - **The holding** Possession alone is not enough to convict. - **Needed** Knowledge, or reason to believe, that it is forged. ## Bail and arrest. Schedule II, CrPC. - **s.489-B** Arrest without warrant. Not bailable. Court of Session. - **s.489-C** Arrest without warrant. Bailable. Court of Session. ## Got one? What the law tells you. - **Do not pass it on** Once you know, using it as genuine is s.489-B. - **Do not keep a stash** Holding fakes to use them is s.489-C. - **Remember the source** Where and when you got it. ## Caught with one? Ask FAI in your own words. It answers with the exact section and the judgments behind it. - **A shopkeeper says my Rs.1000 note is fake and called the police. What happens now?** - **What is the difference between section 489-B and 489-C PPC?** ## Sources - Pakistan Penal Code, 1860 · Section 489-B: Using as genuine, forged or counterfeit currency-notes or bank-notes --- Educational legal information, not legal advice. Every case turns on its own facts. Speak to a qualified lawyer about your situation. Review status: Pending advocate review. FAI Media is part of FAI Legal (https://failegal.site), research on Pakistani statutes and judgments. Free to watch and read.