Criminal misappropriation takes place when the possession has been innocently come by, but where, by a subsequent change of intention, or the knowledge of new fact with which the party was not previously acquainted, the retaining becomes wrongful and fraudulent. A person commits criminal misappropriation, if he:
- Dishonestly misappropriates or converts any property into his own use,
- Such property should be movable.
For Example- The retention of money by a servant authorized to collect it from a person may be criminal misappropriation even though he retains it on account of wages due to him.
Whoever dishonestly misappropriates any movable property shall be punished with imprisonment, which may extend to two years, or fine, or with both.