What is Section 421 IPC?

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  1. Dishonest or fraudulent removal or concealment of property to prevent distribution among creditors —
    Whoever dishonestly or fraudulently removes, conceals or delivers to any person, or transfer or causes to be transferred to any person, without adequate consideration, any property, intending thereby to prevent, or knowing it to be likely that he will thereby prevent, the distribution of that property according to law among his creditors or the creditors of any other person, shall be punished with imprisonment of either description for a term which may extend to two years, or with fine, or with both.
    CLASSIFICATION OF OFFENCE
    Punishment
    —Imprisonment for 2 years, or fine, or both—Non-cognizable— Bailable—Triable by any Magistrate—Compoundable by the creditor who are affected thereby with the permission of the court

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