Section 105-I of CrPC : Section 105-I: Fine In Lieu Of Forfeiture

Explanation using Example

Imagine a businessman, Mr. Kapoor, is under investigation for illegal activities and the court is examining his assets. During the proceedings, it's found that while most of his properties were legally acquired, the source of funds for a luxury car worth ₹1 crore remains unaccounted for. The court, suspecting that the car was purchased with money from illegal activities, declares under Section 105H that the car stands forfeited to the Central Government.

Under Section 105-I(1), the court offers Mr. Kapoor an option: instead of forfeiting the car, he can pay a fine equivalent to the car's market value (₹1 crore). Before this fine is imposed, as per Section 105-I(2), Mr. Kapoor is given the chance to present his case and contest the fine.

If Mr. Kapoor decides to pay the ₹1 crore fine within the time allowed, the court, according to Section 105-I(3), may revoke the forfeiture order. Consequently, the luxury car would be released from government hold and returned to Mr. Kapoor.