If a court has already passed a decree, it must be genuine and cannot later be challenged as fraudulent.

Courts can and do unwind decrees shown to be the product of collusion, and arranging such a decree fraudulently is separately punishable.

Bharatiya Nyaya Sanhita, 2023

Section 245

Fraudulently suffering decree for sum not due

Whoever fraudulently causes or suffers a decree or order to be passed against him at the suit of any person for a sum not due or for a larger sum than is due to such person or for any property or interest in property to which such person is not entitled, or fraudulently causes or suffers a decree or order to be executed against him after it has been satisfied, or for anything in respect of which it has been satisfied, shall be punished with imprisonment of either description for a term which may extend to two years, or with fine, or with both. Illustration. A institutes a suit against Z. Z, knowing that A is likely to obtain a decree against him, fraudulently suffers a judgment to pass against him for a larger amount at the suit of B, who has no just claim against him, in order that B, either on his own account or for the benefit of Z, may share in the proceeds of any sale of Z’s property which may be made under A’s decree. Z has committed an offence under this section.§

Why this exists

This provision, earlier Section 208 of the Indian Penal Code, 1860, targets collusive or sham litigation, where a person deliberately loses a fake lawsuit to a friend or associate, creating a paper judgment that can be used to siphon off assets or defeat a genuine creditor's claim.

Common misconceptions

Myth: If a court has already passed a decree, it must be genuine and cannot later be challenged as fraudulent.
Fact: Courts can and do unwind decrees shown to be the product of collusion, and arranging such a decree fraudulently is separately punishable.