Criminal law · For citizens
He kept your amanat? That can be a crime.
In short
It can be. Dishonestly misappropriating property entrusted to someone is criminal breach of trust (PPC s.405), punishable with up to 7 years, fine, or both (s.406). But money invested in a business is not entrustment (2019 SCMR 1730).
By the FAI Legal editorial desk · 12 October 2026 · 12 slides · 2 min read
Myth or fact?
What people often think.
- Myth: If someone keeps what I gave him to look after, I can only file a civil suit.
- Fact: Dishonestly misappropriating property entrusted to him is criminal breach of trust (PPC s.405). Up to 7 years (s.406).
The rule in the law.
Section 405, Pakistan Penal Code.
“Whoever, being in any manner entrusted with property, or with any dominion over property, dishonestly misappropriates or converts to his own use that property, or dishonestly uses or disposes of that property, in violation of any direction of law … or of any legal contract … commits "criminal breach of trust".”
Pakistan Penal Code, 1860 · Section 405, Criminal breach of trust
The law's own examples.
Illustrations to s.405.
- WarehouseZ leaves his furniture with a warehouse-keeper, who dishonestly sells it.
- CarrierA carrier dishonestly keeps goods given to him to deliver.
- AgentAn agent puts money sent for investment into his own business.
Quick quiz. The investment.
Guess first, then swipe for the answer.
- A. Yes, always
- B. No: investment is not entrustment
- C. Only above Rs 1 crore
Answer: B. Supreme Court.
2019 SCMR 1730.
- The ruleSection 405 is attracted only where property is entrusted, not where money is invested or paid.
- The factsPeople invested in a business. Profits stopped and the money was not returned.
- The resultA civil dispute. The conviction was set aside and he was acquitted.
What it takes.
Islamabad High Court, 2023 PCrLJ 149.
- EntrustmentProperty or control over it was handed to him in trust.
- Dishonest useHe misappropriated it or converted it to his own use.
- Against a dutyIn breach of a direction of law, or of a legal contract.
Not every unpaid bill.
Where courts said no.
- 2021 PCrLJ 669Not paying the rent of a vehicle was not criminal breach of trust.
- 2017 YLRN 10The buyer paid for goods left with the seller: a purchase, not amanat. Bail granted.
- 2022 SCMR 2001But "trust" is wide: bailee, servant, pledgee and more.
Honest mistake?
Illustration (d) to s.405.
- Myth: Any loss caused by the person I trusted is a crime.
- Fact: If he disobeyed your directions in good faith, thinking it was better for you, it is not criminal breach of trust. You may still sue for the loss.
Keep proof.
Before you hand anything over.
- In writingA receipt saying it is held for you, to be returned.
- WitnessesSomeone who saw you hand it over.
- DemandAsk for it back in writing and keep the reply.
Someone kept your property?
Ask FAI in your own words. It answers with the exact section and the judgments behind it.
- I left my gold with a relative and he refuses to return it. Is it a crime?
- Draft a complaint under section 406 PPC.
Example questions
What this does not mean
- Not every refusal to return money is a crime. Section 405 needs property to be entrusted, and money invested or paid in a business is not entrustment (2019 SCMR 1730).
- Unpaid rent or a simple purchase is not criminal breach of trust. Courts said no where vehicle rent was unpaid, and where a buyer paid for goods left with the seller (2021 PCrLJ 669, 2017 YLRN 10).
- If the person disobeyed your directions in good faith, thinking it was better for you, it is not criminal breach of trust under illustration (d) to s.405, though you may still sue for the loss.
Questions people ask
What is 406 PPC in Pakistan?
Section 406 PPC is the punishment for criminal breach of trust, which section 405 defines. It is imprisonment up to 7 years, or fine, or both.
What are the ingredients of 406 PPC?
The property, or control over it, was entrusted to the person. He dishonestly misappropriated it or converted it to his own use, in breach of a direction of law or a legal contract (2023 PCrLJ 149).
Is it a crime if a relative keeps my gold and refuses to return it?
It can be, if the gold was entrusted to him to keep for you and he dishonestly kept or used it (PPC s.405). Proof that it was handed over in trust matters.
Can I file a 406 case if I invested money in a business and lost it?
Usually not. The Supreme Court held that section 405 applies only where property is entrusted, not where money is invested or paid, and the conviction was set aside (2019 SCMR 1730).
What proof do I need for a criminal breach of trust case?
Keep a written receipt saying the property is held for you and must be returned, witnesses to the handover, and a written demand for its return with any reply.
Sources
- Pakistan Penal Code, 1860 · Section 405
Criminal breach of trust Pakistan Code
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. How we check.
