Section 310 of the Bharatiya Nyaya Sanhita (BNS), 2023

10 Jun 2025 --
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1. What Does Section 310 Address?

Section 310 of the Bharatiya Nyaya Sanhita, 2023 deals with illegal money‑lending and wrongful recovery practices carried out by money‑lenders or others who unlawfully lend money and use coercive, oppressive, or criminal means to recover debts.

This section is designed to protect borrowers from exploitation and criminal practices by unscrupulous lenders.

2. Context and Purpose of the Provision

In many societies, private money‑lenders provide loans outside formal banking structures. While lending is not an offence itself, criminal conduct in the course of lending or recovery becomes punishable. The provision aims to prevent:

✔ Extortionate interest rates
✔ Threats or violence to recover debt
✔ Use of intimidation or coercion
✔ Illegal acts that harm the borrower

In other words, Section 310 punishes criminal conduct related to money‑lending, not legitimate lending.

3. Ingredients (Key Elements) of the Offence

For an act to fall under Section 310, the following elements must be present:

(a) Loan or Credit Given

A person (money‑lender) has provided money, goods, or credit to another individual.

(b) Recovery Method is Criminal

The lender uses one or more of the following in recovering the debt:

Threats

Intimidation

Violence

Coercion

Extortion

Wrongful confinement

Any act causing fear or harm

(c) Means Made the Borrower Fearful

The borrower is forced to pay because of fear caused by the lender’s conduct.

(d) No Protection for Civil Remedies

Civil remedies like filing a suit for recovery in court are not offences. The section applies only when recovery is done by criminal or coercive means.

(e) Criminal Intent

The lender must knowingly use wrongful means for recovery.

4. Conduct Punished Under Section 310

The following conduct can attract liability under Section 310:

✔ Threatening the borrower with violence if payment is not made
✔ Forcing the borrower to hand over property
✔ Detaining or confining the borrower until payment
✔ Harassing the borrower (verbal, physical, or consistent intrusion)
✔ Displaying weapons to intimidate the borrower
✔ Disclosure of personal information to defame or coerce the borrower

5. Punishment Under Section 310

Section 310 imposes criminal penalties for illegal recovery practices, which may include:

Imprisonment (term specified under BNS depending on severity)

Fine

Both imprisonment and fine

Additional penalties if multiple offences are involved

The severity of punishment depends on factors such as:

✔ The gravity of the coercive act
✔ Whether violence or threat was used
✔ Impact on the borrower
✔ Whether repeated offences were committed

6. Who Can Be Prosecuted Under Section 310?

Section 310 applies to:

Private money‑lenders who engage in illegal recovery

Agents or representatives of money‑lenders acting under instruction

Anyone acting in furtherance of criminal recovery practices

Important note:

Legitimate lenders (e.g., banks) using lawful civil remedies are not covered under this section.

The section targets criminal conduct, not lawful debt collection.

7. Difference Between Civil and Criminal Recovery

Aspect	Civil Recovery	Criminal Recovery (Section 310)
Authority	Civil court	Criminal prosecution
Conduct	Lawful legal process	Threats, coercion or force
Remedy	Money decree, seizure by court	Imprisonment / fine / both
Example	Filing suit for recovery	Forcing borrower at gunpoint

Key idea: Seeking debt via legal process is allowed; using persuasion by force or fear is penalized under Section 310.

8. Illustrative Examples

To understand Section 310, consider the following scenarios:

Example 1

A lends money to B at high interest. When B fails to pay, A threatens B with injury unless paid.

A has committed an offence under Section 310 because the lender used threats and fear to recover money.

Example 2

C borrows money from D. D’s agent locks C in a room until payment is made.

The agent and D are liable under Section 310 for wrongful confinement and coercive recovery.

Example 3

E legally contracts a loan from F. When F sues E in court for repayment, that is lawful and not penalized.

No offence under Section 310 because recovery is through lawful civil process.

9. Policy Reason Behind Section 310

The legal system balances:

✔ Freedom to lend and borrow
✔ Protection against exploitation and criminal conduct
✔ Preventing powerful lenders from using unlawful pressure on vulnerable borrowers

Thus, the law punishes the method of recovery, not the act of lending itself.