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Issues involved:
1. Whether bail granted u/s 167(2) CrPC for failure to complete the investigation within the prescribed period can be cancelled on the mere presentation of the charge-sheet thereafter. Summary: Issue 1: Cancellation of Bail u/s 167(2) CrPC Post Charge-Sheet Presentation The Supreme Court examined whether bail granted under the proviso to Sub-section (2) of Section 167 of the CrPC, 1973, for failure to complete the investigation within the prescribed period, can be cancelled merely upon the presentation of the charge-sheet at a later date. The appellant was arrested for offences u/s 147, 148, 302, and 323 read with Section 149 IPC. After the investigation was not completed within 90 days, the Sessions Judge granted bail u/s 167(2) CrPC. Subsequently, the State moved for cancellation of bail u/s 439(2) CrPC after the charge-sheet was filed, which the High Court granted, leading to the appellant's surrender. The Supreme Court noted that u/s 167(2) CrPC, if the investigation is not completed within the prescribed period, the accused has a right to be released on bail if prepared to furnish bail. This release is deemed under Chapter XXXIII for the purposes of that Chapter, including Sections 437 and 439, which cover the grant and cancellation of bail. The Court highlighted that the legislative intent behind the proviso to Section 167(2) is to ensure speedy investigation and prevent undue detention. The Court held that once bail is granted under Section 167(2), it cannot be cancelled merely because a charge-sheet is subsequently filed. There must be special reasons for cancellation, such as the accused misusing liberty, tampering with evidence, or other grounds relevant for cancellation under Sections 437(5) or 439(2). The Court referred to case laws, including Bashir v. State of Haryana and Raghubir Singh v. State of Bihar, emphasizing that bail granted u/s 167(2) is not defeated by the filing of a charge-sheet but can be cancelled if there are sufficient grounds to believe the accused has committed a non-bailable offence and it is necessary to arrest and commit him to custody. The Court concluded that the High Court erred in canceling the bail solely on the ground of the charge-sheet's submission. The appeal was allowed, and the matter was remitted to the High Court for reconsideration in light of the legal position stated. Separate Opinion by M.M. Punchhi, J.: Punchhi, J. differed, emphasizing that a bail order under Section 167(2) is not on merit and can be cancelled if the court believes the accused has committed a non-bailable offence and it is necessary to arrest and commit him to custody. He asserted that the High Court rightly relied on Rajnikant Jeevanlal Patel's case, which was based on Raghubir Singh's case, and upheld the cancellation of bail. Separate Opinion by K. Ramaswamy, J.: Ramaswamy, J. agreed with Ahmadi, J. but emphasized that strong grounds are necessary for canceling bail after filing the charge-sheet. He highlighted that the High Court should consider the merits of the case for cancellation, aligning with the views in Bashir's and Raghubir's cases. He disagreed with Shetty, J.'s emphasis on the charge-sheet's filing as a ground for cancellation.
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