Extortion: Definition, Types, Examples and Legal Implications

Extortion

Edited By Ritika Jonwal | Updated on Jul 02, 2025 05:42 PM IST

Meaning of Extortion

Extortion is an offence or a crime which is done intentionally by a person by threatening or putting someone in a fearful situation to take away any valuable document or property. It can also be done in the form of physical violence causing grievous harm to an individual. The harm can also be through financial loss and mental suffering. In short, extortion can be briefly explained as fearing someone to obtain something from a person to obtain possession of their belongings.

This Story also Contains

Meaning of Extortion
Essentials of Extortion
Extortion Case Laws
Extortion to Theft
Extortion to Robbery
Extortion to Dacoity
Differentiation between Extortion, Theft, Robbery and Dacoity
Types of Extortion
Extortion in IPC
What is Cyber extortion?
Other Forms of Extortion

Extortion

According to Section 383 of the Indian Penal Code, 1860, extortion can be precisely defined as, “When someone intentionally puts any person in fear of any hurt to that person, or any other person and thereby, deceitfully induces the person so put in fear to hand over that person’s property, or any valuable security or anything signed and sealed which may be changed into a valuable asset commit, extortion.” Therefore, extortion can be simply quoted as wrongfully acquiring someone else’s property by forcing or threatening them.

Currently. Section 306 of the Bhartiya Nyaya Sanhita, 2023, extortion can be defined as “Whoever intentionally puts any person in fear of any injury to that person, or to any other, and thereby dishonestly induces the person so put in fear to deliver to any person any property, or valuable security or anything signed or sealed which may be converted into a valuable security, commits ‘extortion’”.

For example, a person ‘x’ threatens ‘y’ to give his car keys to him otherwise he’ll kidnap his two-year-old son. Here in this scenario, ‘x’ is liable for extortion.

Essentials of Extortion

1. Deliberately causing hurt or injury to a person by fearing them. A person should have a ‘mala fide’ intention to cause harm to the opposite party. There should be a valid loss of the owner of the property and the demanded commodity should be duly delivered to the extortioner. In the case of R. S. Nayak v. A. R. Antulay, the court particularly laid down extortion shall only be considered when there are elements of fear and threat are present in the factual matrix. Further, the absence of these two main elements does not amount to a threat.

2. Secondly, there should be a dishonest intention or influence of the person through misleading means. The person being extorted should be forced or misguided, then only it shall be termed as an extortion. In the case of Biram Lal v. State, the court stated that the person must be forcefully induced to transfer or deliver the property from the owner to the extortioner, if the object is not delivered under the influence, then the act might only qualify as s mere attempt to commit extortion.

3. The delivery of the valuable security or property must be transferred from the owner’s possession to the extortioner’s possession. The property that is being extorted shall be valuable and of financial importance to the person. In the case of Anil B. Nadkarni v. Amitesh Kumar, the court contented that the delivery of the valuable property or security shall be in the favour of the extortioners' demands and the person must be forced to transfer the valuables as only then it would qualify as a case of extortion.

Extortion Case Laws

In the landmark case of Sushil Suri v. Central Bureau of Investigation, the Supreme Court of India had framed essential ingredients for an act to qualify as extortion. The court stated that there should be an unintentional loss of one person and an intentional gain of another person as the two major elements required for extortion.
In the case of Gurucharan Singh v. State of Punjab, the court introduced that ‘coercion’ is one of the main elements of extortion to constitute. The extorted person must be in an alarming situation to depart from the valuable property.
The case of Romesh Chandra Arora v. State confined the accused behind bars because he threatened two girls that he would spoil their image in society and extorted a lumpsum amount of money in exchange for that. The court held that the person was liable for extortion.
In the State of Karnataka v. Basavegowda Alias Chandra case, the court convicted the accused under Section 384 of the Indian Penal Code, 1860 for extorting jewellery by threatening his wife with death.

Extortion to Theft

Theft is unlawfully taking away someone else’s property without their consent and with the intention of permanently taking away that property from them. Theft is defined under Section 378 of the Indian Penal Code,1860. Extortion is converted to theft when there is the absence of consent from the victim, as in the extorted person had no idea about the mishap. During an extortion, if the person takes away the property without intimidating the person, then it turns into a theft. for example, if a person has threatened another person that he might take away his house keys if doesn’t give him all the money he has in his pocket, but actually takes away his keys and runs away, then the act of extortion turns into a theft.

Absence of consent.
Actual taking away of the property or valuable security.

In the case of State of Gujarat v. Mohanlal Jitamalji Porwal, the court could discover elements of both theft and extortion. The accused had threatened the victim to depart with his property and then without any influence, actually stole it away. The court in this case held that the extortion had turned into theft.

Extortion to Robbery

Robbery is an act of taking away the property of a person in their presence by intimidating them or forcing them to detach the property. Robbery is defined under Section 390 of the Indian Penal Code, 1860. Extortion becomes robbery when if the offender at the time of committing the offence of extortion, in the presence of the person from whom the property is being robbed, puts him in threat or fear of death or harm and takes away the belongings of the person, then it can be stated that an extortion is converted to robbery.

Presence of the offender
Immediate fear is caused to the victim.
Violence or threat of violence.

In the case of Chaman Lal v. State of Punjab, the Supreme Court held that when a person extorts any belongings or property by putting someone in fear of death or injurious harm while the offender is present at the scene of occurrence, then it constitutes to a robbery.

Extortion to Dacoity

Dacoity occurs when five or more people in a group commit or attempt to commit robbery. Thereafter every person in the group shall be involved in the entire scenario of robbery. Dacoity is defined under Section 391 of the Indian Penal Code, 1860. An extortion can become dacoity when five or more people collectively rob while attempting to extort property from a person. For example, a group of seven members, threatened a shopkeeper, to pay protection money to them otherwise they’ll kill the person. This scenario gets converted from an extortion to Dacoity.

Number of people should be five or more than five.
Collective action.
Presence and aid.

In the case of Fateh Singh v. State of Madhya Pradesh, the court laid down essential ingredients of dacoity that there is a requirement of a minimum of five members for an offence to qualify as dacoity.

Differentiation between Extortion, Theft, Robbery and Dacoity

Here's a comprehensive distinction between extortion, theft, robbery, and dacoity based on legal definitions and important characteristics:

Extortion	Theft	Robbery	Dacoity
In extortion, the consent of the owner of the property is obtained illegally.	In theft, when the property is taken away, the consent of the owner is not taken.	Similarly in robbery, the property of the owner is taken away without consent.	Robbery may be converted in dacoity when more than five people are present.
The element of fear and threat exists.	The element of Fear or threat is not present.	The element of fear and threat exists.	The element of fear and threat exists.
The nature of the property might be movable or immovable.	The nature of the property is movable.	The nature of the property is movable.	The nature of the property is movable.

Types of Extortion

Extortion can be majorly classified into the following three types:

Blackmail: Blackmail is a type of extortion wherein the extortioner threatens to expose embarrassing or damaging information about a person unless they get paid or receive any benefits out of that. For example, a person ‘X’ threatens another person ‘Y’ that he will leak his documents in public or give them to someone who will explicitly reveal his divorce papers if not paid a certain sum of money.
Protection Racket: A Protection Racket is a form of extortion where individuals are forcefully asked to pay for protection against harm or damage, specifically from a particular person or a group offering the protection. For example, a gang demands regular payment of money in exchange for the protection offered to them against violence.
Cyber Extortion: Cyber Extortion is an extortion where threatening or fearing people is done through electronic means of communication and technological methods are also involved. For example, hackers hack other people’s social media handles or threaten them online or virtually to gain a ransom amount in exchange.

Extortion in IPC

Extortion is particularly prohibited under the Indian Penal Code (IPC) in Section 383. According to Section 384 IPC, anybody who wilfully puts another person in fear of danger or harm to their property in order to collect something from them is guilty of extortion.
Whoever, in order to commit extortion, puts or attempts to put any person in fear of any damage will be punished with imprisonment of either sort for up to two years, a fine, or both.

What is Cyber extortion?

Cyber extortion is a type of cybercrime that includes digitally threatening or coercing someone into doing anything against their will. Cyber extortion often disrupts an organization's activities or exposes its valuable assets, such as sensitive data, intellectual property, or infrastructure systems.
Cyber extortion is the act of blackmailing another person or organisation by threatening to reveal sensitive information or conduct a cyberattack. Cyber extortion refers to a broad range of internet and computer-related crimes.

Other Forms of Extortion

Sextortion: Sextortion is a subset of extortion where the extortioner threatens the victim of revealing sexual images or obscene content unless the victim doesn’t pay the demanded sum of money or ransom to the perpetrator. For example, a person ‘A’ threatens a girl ‘B’ that he’ll expose her obscene pictures on the internet if she doesn’t surrender her car to him.
Labour Extortion: Labor Extortion is where an individual or a group of individuals are coerced or forced to provide labour or services equivalent to labour by threatening them to do so. For example, a person named ‘M’ was forced to work in a sugar mill by threatening him that if he failed to do so then his family would be killed.
Financial Extortion Financial Extortion is a type of extortion where a person is compelled or threatened to obtain financial benefits in order to obtain money or ransom amount. For example, a person named ‘T’ was manipulated by ‘P’ that there are incidences of theft and robbery are happening in the street where is café is located. ‘P’ proposes that if he pays him certain some of money, he will protect his café. Therefore, it can be said that ‘P’ financially coerced ‘T’ to give him money for the protection.

Frequently Asked Questions (FAQs)

1. What is extortion and which section of the Indian Penal Code, 1860 covers the provisions of it?

Extortion is an offence in which an extortioner intentionally threatens another person or puts them in a fearful situation to seize valuable security or documents from them. Section 383 of the Indian Penal Code, 1860 states the provisions for Extortion.

2. What are the three primary essentials of an extortion?

There are essentially three ingredients or elements of extortion that is,

Unintentionally causing harm or injury.
Dishonest intention or undue influence.
Delivery of valuable property.

3. What is the amended Section in light of extortion in the Bhartiya Nyaya Sanhita, 2023?

Section 306 of the Bhartiya Nyaya Sanhita, 2023 is the newly amended section for the provisions of extortion.

4. What are the various types of extortion?

There are various types of extortion listed below.

Blackmail
Protection Rackets
Cyber Extortion
Sextortion
Labor Extortion
Financial Extortion

5. What is Cyber extortion?

Cyber extortion is the act of blackmailing another person or organisation by threatening to reveal sensitive information or conduct a cyberattack. Cyber extortion refers to a broad range of internet and computer-related crimes.

6. What is Cyber extortion?

Cyber extortion is a form of extortion carried out through digital means, such as email or social media. It often involves threats to release sensitive information, block access to data, or disrupt computer systems unless a ransom is paid.

7. What is extortion?

Extortion is an offence or a crime which is done intentionally by a person by threatening or putting someone in a fearful situation to take away any valuable document or property.

8. What is extortion?

Extortion is a criminal offense where someone uses force, threats, or coercion to obtain something of value from another person against their will. It often involves demanding money or property in exchange for not carrying out a harmful action.

9. How does extortion differ from robbery?

While both crimes involve obtaining something of value from another person, extortion typically involves threats of future harm or exposure of damaging information, whereas robbery involves immediate use of force or fear to take property directly from a person.

10. How does extortion differ from theft?

While both crimes involve unlawfully obtaining something from another, theft involves taking property without the owner's consent, whereas extortion involves coercing the victim to "willingly" hand over property or valuables under duress.

11. How does extortion differ from coercion?

While both involve forcing someone to do something against their will, extortion specifically aims to obtain property or something of value. Coercion is broader and may not involve financial or property gain.

12. What is the difference between extortion and harassment?

While both involve unwanted pressure on the victim, extortion specifically aims to obtain something of value through threats. Harassment is broader and involves persistent unwanted behavior that may not have a specific goal of obtaining property or benefits.

13. What is the difference between extortion and ransom?

While both involve demands for payment, ransom typically involves holding a person or property and demanding payment for its return. Extortion is broader and can involve threats of various kinds, not necessarily involving captivity or seizure.

14. What are the key elements of extortion?

The key elements of extortion typically include: (1) a threat or use of force, (2) intent to obtain property or something of value, (3) the victim's consent obtained through fear or threat, and (4) wrongful use of actual or threatened force.

15. How does intent factor into extortion charges?

Intent is crucial in extortion cases. The prosecution must prove that the accused intentionally made a threat or used force with the specific purpose of obtaining something of value from the victim.

16. What role does fear play in extortion cases?

Fear is a crucial element in extortion. The victim's fear of the threatened consequence is what compels them to comply with the extortionist's demands. The fear must be reasonable under the circumstances.

17. Can a person be charged with extortion for making vague threats?

Vague threats can be the basis for extortion charges if they reasonably induce fear in the victim and are made with the intent to obtain something of value. However, the vaguer the threat, the harder it may be to prove extortion.

18. What is the role of consent in extortion cases?

In extortion cases, the victim's apparent consent to give up property or money is not considered true consent because it's obtained through fear or coercion. The law recognizes that this "consent" is invalid due to the circumstances.

19. How does the First Amendment relate to extortion laws?

The First Amendment protects free speech, but it does not protect speech integral to criminal conduct like extortion. Courts must balance free speech rights with the need to prohibit threats and coercion.

20. How does the principle of "claim of right" apply in extortion cases?

The "claim of right" defense argues that the accused believed they had a legitimate claim to the property demanded. However, this defense generally doesn't apply if the means used to obtain the property were illegal, even if the claim was legitimate.

21. Can a person be charged with attempted extortion if no money or property was actually obtained?

Yes, attempted extortion can be charged even if the extortionist didn't succeed in obtaining money or property. The crime is complete when the threat is made with the intent to extort, regardless of whether the attempt is successful.

22. What is the significance of the Hobbs Act in U.S. extortion law?

The Hobbs Act is a federal law that criminalizes extortion affecting interstate or foreign commerce. It's significant because it allows federal prosecution of extortion cases, particularly those involving public officials or organized crime.

23. Can extortion occur through omission rather than action?

While extortion typically involves active threats, it can potentially occur through omission in some cases. For example, a person in a position of trust who withholds necessary action unless paid extra might be committing extortion.

24. Can a person be charged with extortion for threatening to report a crime?

Generally, threatening to report a genuine crime is not considered extortion. However, if the threat is made to obtain something beyond what is legally owed, it could be considered extortion.

25. How does the law define "thing of value" in extortion cases?

In extortion cases, a "thing of value" is broadly interpreted. It can include money, property, services, information, or even intangible benefits like favorable treatment or the withholding of negative actions.

26. Can extortion charges be brought if the threatened action is legal?

Even if the threatened action is legal, it can still be considered extortion if it's used wrongfully to obtain something of value. For example, threatening to file a lawsuit unless someone pays money not legally owed could be extortion.

27. Can a person be charged with extortion for threatening to harm themselves?

Threatening self-harm to obtain something of value can be considered extortion in some jurisdictions. However, this is a complex area and may be treated differently depending on the specific circumstances and jurisdiction.

28. What defenses are commonly used in extortion cases?

Common defenses in extortion cases include lack of intent, absence of a threat, claim of right (believing one had a legal right to the property), duress, and entrapment.

29. Can a person be charged with both extortion and the crime they threatened to commit?

Generally, a person can be charged with extortion based on the threat alone, regardless of whether they intended to or did carry out the threatened act. If they actually committed the threatened crime, they could potentially be charged with both offenses.

30. Can extortion charges be brought for threats of non-violent actions?

Yes, extortion doesn't require threats of physical violence. Threats to damage reputation, disclose secrets, or withhold necessary services can all potentially form the basis of extortion charges if used to obtain something of value wrongfully.

31. How does extortion differ from blackmail in legal terms?

While often used interchangeably in common language, legally, blackmail is typically considered a specific type of extortion involving the threat to reveal embarrassing or damaging information. Extortion is the broader category that includes various types of threats.

32. How does the concept of "quid pro quo" relate to extortion?

In extortion, the "quid pro quo" (something for something) is the exchange of the victim's compliance or property for the extortionist's restraint from carrying out a threat. This differs from legitimate quid pro quo arrangements where both parties willingly agree to an exchange.

33. How does extortion differ from fraud?

While both crimes involve obtaining something of value unlawfully, fraud typically involves deception or false representations to trick the victim. Extortion, on the other hand, uses threats or force to coerce the victim, who is aware of what's happening.

34. What is the "fear" element in extortion, and how is it proven?

The "fear" element in extortion refers to the victim's apprehension of harm if they don't comply with the extortionist's demands. It's typically proven by demonstrating that the threat was reasonably likely to induce fear in the victim given the circumstances.

35. How does extortion differ from duress in contract law?

While both involve pressure or threats, extortion is a criminal offense aimed at obtaining something of value through illegal means. Duress in contract law is a civil matter that can make a contract voidable if one party was improperly forced into the agreement.

36. Can extortion occur without physical violence?

Yes, extortion can occur without physical violence. It often involves threats of future harm, exposure of embarrassing information, or damage to reputation rather than immediate physical force.

37. Is blackmail the same as extortion?

Blackmail is a specific form of extortion. While extortion can involve various types of threats, blackmail specifically refers to threatening to reveal embarrassing or damaging information about someone unless they meet certain demands.

38. Can businesses be victims of extortion?

Yes, businesses can be victims of extortion. This often takes the form of threats to disrupt operations, reveal trade secrets, or damage the company's reputation unless certain demands are met.

39. What is "extortion under color of official right"?

This refers to extortion committed by public officials who use their position of authority to obtain property or benefits to which they are not entitled. It's a form of public corruption where the official's position itself implies a threat.

40. What is the difference between extortion and bribery?

Extortion involves forcing someone to pay or do something through threats or coercion, while bribery involves offering something of value to influence someone's actions. In extortion, the victim is unwilling; in bribery, both parties are typically willing participants.

41. Can a person be charged with extortion for threatening to terminate employment?

Generally, threatening to fire someone is not extortion if it's within the employer's rights. However, if the threat is coupled with demands for personal gain outside the employment relationship, it could be considered extortion.

42. Can extortion charges be brought for threats made against a third party?

Yes, extortion can involve threats against a third party. For example, threatening to harm someone's family member unless they pay money can be considered extortion, even though the threat is not directly against the person being extorted.

43. How does extortion relate to organized crime?

Extortion is often associated with organized crime as a means of generating income and maintaining control over territories or businesses. It's frequently used in protection rackets where criminals demand payment for "protection" from harm they themselves would otherwise inflict.

44. Can extortion occur within family relationships?

Yes, extortion can occur within families. For example, threatening to reveal embarrassing family secrets unless money is paid, or using custody of children as leverage for financial gain could be considered extortion.

45. Can political lobbying ever be considered extortion?

While political lobbying is generally legal, it could potentially cross into extortion if it involves threats or coercion beyond the normal bounds of political persuasion, especially if personal gain rather than policy change is the primary goal.

46. How does jurisdiction affect extortion cases, especially in cybercrimes?

Jurisdiction in extortion cases, particularly cybercrimes, can be complex. The crime may be prosecuted where the threat was made, where it was received, or where its effects were felt. International cases may involve multiple jurisdictions and extradition issues.

47. What is "sextortion"?

Sextortion is a form of extortion where the threat involves revealing intimate images or information about the victim's sexual activities. It often involves threatening to share explicit photos or videos unless demands are met.

48. What is the relationship between extortion and witness tampering?

Witness tampering can involve extortion if threats or force are used to prevent a witness from testifying or to coerce specific testimony. Both are serious crimes that interfere with the justice system.

49. What is the relationship between extortion and racketeering?

Extortion is often a component of racketeering. Racketeering involves operating an illegal business (a racket) or using an organization to commit illegal acts, which may include extortion as one of its criminal activities.

50. How does extortion differ in civil law versus criminal law contexts?

In criminal law, extortion is a specific offense punishable by the state. In civil law, extortion-like behavior might be addressed through tort actions such as intentional infliction of emotional distress or coercion, focusing on compensating the victim rather than punishing the offender.

51. How does the concept of "economic duress" relate to extortion?

Economic duress in contract law bears similarities to extortion but is typically a civil rather than criminal matter. It involves one party exploiting the economic vulnerability of another to force an agreement. While not always criminal extortion, severe cases might cross that line.

52. What is the role of interstate commerce in federal extortion cases?

For federal jurisdiction under laws like the Hobbs Act, the extortion must affect interstate commerce. This requirement is often broadly interpreted and can be satisfied by even a minimal impact on interstate commerce.

53. How does the principle of "void for vagueness" apply to extortion laws?

The "void for vagueness" doctrine requires that criminal laws be clear enough for an ordinary person to understand what conduct is prohibited. Extortion laws must be specific enough to give fair notice of what constitutes a threat or wrongful use of fear.

54. What is the significance of the victim's state of mind in extortion cases?

The victim's state of mind is crucial in extortion cases. The prosecution must show that the victim reasonably feared the threatened consequence and that this fear induced them to comply with the extortionist's demands.

55. How does the concept of "extortionate credit transactions" relate to traditional extortion?

Extortionate credit transactions, often associated with loan sharking, involve using extortionate means to collect debts. While similar to traditional extortion, it specifically relates to lending practices and is often addressed by separate statutes.

56. Can a person be charged with extortion for threatening legal action?

Generally, threatening legal action is not extortion if the threatened action is legitimate and related to the claim. However, if the threat of legal action is used to obtain something unrelated or not legally owed, it could potentially be considered extortion.