Section 187 - Punishment for certain actions.

Fraud by bankruptcy trustee triggers imprisonment or trebled fine, with a limited defence for good faith seizures of non estate property.

A bankruptcy trustee who fraudulently misapplies, retains or accounts for estate money or property, or wilfully breaches duties under section 149 causing loss to the estate, is punishable by imprisonment up to three years, or a fine not less than three times the loss caused or likely caused, or both; if loss or gain is not quantifiable, the fine is capped. A trustee is not liable when he seizes or disposes of property not comprised in the estate and reasonably believes at the time he is entitled to do so.