Case Law Analysis
|Chhattisgarh High Court
Section 318(4) BNS | No Prima Facie Fraud Where SIMs Issued Under Digital KYC Without Recovery or Direct Intent: Chhattisgarh HC
The Chhattisgarh High Court granted regular bail to a SIM distributor accused of issuing 48 fake SIMs, holding that mere distribution under authorized POS systems, with compliance of digital KYC and no recovery of fraudulent devices, does not establish direct fraudulent intent under Section 318(4) BNS. This clarifies the boundary between administrative facilitation and criminal culpability in telecom fraud cases, protecting distributors from overbroad prosecution.