Criminal Law Code as at 1st March 2007 122 Pledge-taking cases (1) Where a person takes possession or control of property capable of being stolen which is owned, possessed or controlled by another person, intending to hold the property as a pledge or security pending the satisfaction of a debt owed by that other person, he or she shall not be chargeable with theft of the property or stock theft unless he or she intended to deprive the other person permanently of his or her ownership, possession or control of the property, but he or she may be charged with unauthorised borrowing or use of the property. (2) A person who takes property capable of being stolen, intending to deprive the owner permanently of his or her ownership, contrary to the terms on which the person received possession or control of it from the owner as a pledge or security pending the satisfaction of a debt owed to him or her, shall be chargeable with theft or stock theft, as the case may be. 123 Recent possession of stolen property (1) Subject to subsection (2), where a person is found in possession of property that has recently been stolen and the circumstances of the person’s possession are such that he or she may reasonably be expected to give an explanation for his or her possession, a court may infer that the person is guilty of either the theft of the property or stock theft, or of receiving it knowing it to have been stolen, whichever crime is the more appropriate on the evidence, if the person⎯ (a) cannot explain his or her possession; or (b) gives an explanation of his or her possession which is false or unreasonable. (2) A court shall not draw the inference referred to in subsection (1) unless the circumstances of the person’s possession of the property are such that, in the absence of an explanation from him or her, the only reasonable inference is that he or she is guilty of theft, stock theft or receiving stolen property knowing it to have been stolen, as the case may be. Division C: Receiving or possessing stolen property 124 Receiving stolen property knowing it to have been stolen (1) Any person who takes possession of stolen property⎯ (a) knowing that it has been stolen; or (b) realising that there is a real risk or possibility that it has been stolen; shall be guilty of receiving stolen property knowing it to have been stolen, and liable to⎯ (i) a fine not exceeding level fourteen or not exceeding twice the value of the property which forms the subject of the charge, whichever is the greater; or (ii) imprisonment for a period not exceeding twenty-five years; or both. (2) If it is proved in a prosecution for receiving stolen property knowing it to have been stolen that, at the time the accused took possession of the property, he or she did not know that it had been stolen or did not realise that there was a real risk or possibility that it had been stolen, but acquired such knowledge or came to such a realisation afterwards, he or she may be convicted of theft or stock theft or of being found in possession of property reasonably suspected of being stolen, if the facts support such a conviction. - 75 -