Section 405 of the Indian penal code dealt with the definition of criminal breach of trust. Section 405 to section 409 of the Indian penal code deals with the various kind of criminal breach of trust like by clerk or servant, by a public servant, etc.
For constituting the offence of criminal breach of trust under section 405 the accused must be trusted with some property or have dominion over the property of another. He with dishonest intention appropriated such property for his own use.
Explanation 1 of section 405 deals with the liability of employer if he dishonestly misappropriated the amount collected by the employee under provident fund or person family fund.
Explanation 2 of section 405 deals with the liability of employer if he dishonestly misappropriated the amount collected by the employee under the employee’s state insurance fund.
Ingredients of section 405:
- Entrusting any person with property or dominion over the property.
- Dishonestly misappropriate or use or dispose of that property or willfully suffers any other persons so to do violation-
- Any direction of law prescribing the mode in which such trust is to be discharged.
- Of any legal contract made touching the staff of such trust.
The expression entrusted means handing over the possession of the property to any person without transferring the rights of ownership to such person. The property entrusted to such person had dishonestly misappropriated property for his own use.
The property under this section can be movable property or immovable property. Such property must belong to the complainant.
The person is said to have dominion over the property if he such control or supervise over such property.
The dishonest intention is the essential ingredient to constitute an offence under section 405. If any person keeps the goods without misappropriating the property is cannot be said that he committed the offence.
The punishment of the criminal breach of trust is given under section 406 of the Indian penal code. Whoever commits criminal breach of trust is punished with imprisonment which may extend to three years or with fine or both.