Section 424 of IPC : Section 424: Dishonest or fraudulent removal or concealment of property

Explanation using Example

Example 1:

Ravi, a businessman, is facing a financial crisis and owes a significant amount of money to various creditors. To avoid paying his debts, Ravi transfers ownership of his expensive car to his friend, Suresh, without any actual sale or consideration. Ravi continues to use the car as if it were still his own. This act of transferring the car to Suresh is done dishonestly to conceal the asset from his creditors. Under Section 424 of the Indian Penal Code, Ravi can be punished for dishonestly removing or concealing his property to avoid paying his debts.

Example 2:

Meena, who is going through a divorce, is required to disclose all her assets to the court. To avoid sharing her wealth with her spouse, she hides a significant amount of cash in a secret compartment in her house and does not declare it in her asset statement. Additionally, she asks her brother to hold onto some of her jewelry until the divorce proceedings are over. Meena's actions of hiding the cash and transferring the jewelry to her brother are done fraudulently to conceal her property. Under Section 424 of the Indian Penal Code, Meena can be punished for fraudulently concealing her property during the legal proceedings.