One of the first steps in the judicial processis finding the applicable statutes/laws basedon the facts of the current situation. Manu-ally searching through multiple legislation andlaws to find the relevant statutes can be time-consuming, making the Legal Statute Identi-fication (LSI) task important for reducing theworkload, helping improve the efficiency ofthe judicial system. To address this gap, wepresent a novel knowledge graph-enhanced ap-proach for Legal Statute Identification (LSI) inIndian legal documents using Large LanguageModels, incorporating structural relationshipsfrom the Indian Penal Code (IPC) the main leg-islation codifying criminal laws in India. Onthe IL-TUR benchmark, explicit KG inferencesignificantly enhances recall without sacrific-ing competitive precision. Augmenting LLMprompts with KG context, though, merely en-hances coverage at the expense of precision,underscoring the importance of good rerank-ing techniques. This research provides the firstcomplete IPC knowledge graph and shows thatorganized legal relations richly augment statuteretrieval, subject to being integrated into lan-guage models in a judicious way. Our code anddata are publicly available at Github. (https://github.com/SiddharthShukla48/NyayGraph)