2020 (5) TMI 697 - HC - Indian Laws

Grant of Default Bail - denial of bail relying on the decision in IN RE COGNIZANCE FOR EXTENSION OF LIMITATION 2020 (5) TMI 418 - SC ORDER - Extension of period of limitation prescribed under the general law or Special Laws - prevailing Covid-19 Virus pandemic situation in India - HELD THAT - On 06.05.2020, the Hon ble Supreme Court had passed an Order in the very same Suo Motu Writ Petition IN RE COGNIZANCE FOR EXTENSION OF LIMITATION 2020 (5) TMI 418 - SC ORDER and extended the limitation period for statutory provisions under Section 138 of the Negotiable Instruments Act and the Arbitration and Conciliation Act with effect from March 15, 2020 till further order - The Hon ble Supreme Court has not mentioned in the said Orders that investigation will be covered under these Orders. The Orders of the Hon ble Supreme Court are binding on all the courts including High Courts. No court has the right to interpret the Orders passed by the Hon ble Apex Court. Therefore, the police investigation is not covered under the Orders of the Hon ble Supreme Court. Personal liberty of the individual, guaranteed under Article 21 of the Constitution of India, is very precious fundamental right and it should be curtailed only according to law - It is admitted fact between the parties that the investigation is going on and the applicant is in judicial custody since 23.01.2020. This Court is of the view that the applicant is entitled for default bail - let the applicant be released on bail on his executing a personal bond and furnishing two reliable sureties, each in the like amount, to the satisfaction of the court concerned subject to the conditions imposed.

Summary

Issues: Bail application under Section 439 of CrPC for grant of regular bail in connection with FIR No.68 of 2019 involving multiple IPC sections.

Analysis:
1. The bail application was filed in connection with FIR No.68 of 2019, which involved allegations related to a scholarship scam and embezzlement of funds amounting to ?39,52,000. A Special Investigation Team was formed following a High Court order, leading to the filing of the FIR against the applicant and other co-accused individuals.

2. The applicant applied for "default bail" during the pendency of the regular bail application, which was rejected by the Chief Judicial Magistrate citing a Supreme Court order dated 23.03.2020 regarding the extension of limitation periods due to the Covid-19 situation. The applicant challenged this rejection before the High Court.

3. The Supreme Court orders dated 23.03.2020 and 06.05.2020 extended the limitation period for certain statutory provisions but did not explicitly mention investigations. The High Court emphasized that these orders are binding on all courts, and no court has the authority to interpret them to cover police investigations.

4. Citing the case of Rakesh Kumar Paul vs. State of Assam (2017) and Uday Mohanlal Acharya vs. State of Maharashtra (2001), the High Court acknowledged that an accused has an indefeasible right to default bail if the investigation period lapses without filing a charge sheet. The applicant, in this case, had moved for default bail after the statutory period had expired.

5. The High Court reiterated that when an application for bail on default is filed, the merits of the case should not be delved into, as established by the Supreme Court in Union of India vs. Thamisharasi and others (1995). The fundamental right of personal liberty under Article 21 of the Constitution should only be curtailed according to law.

6. After considering arguments from both sides, the High Court granted default bail to the applicant, emphasizing the importance of personal liberty. The applicant was directed to execute a personal bond, provide two sureties, and adhere to specific conditions, including making himself available for interrogation and not leaving the state without court permission.

7. The High Court clarified that any violation of the bail conditions could result in the prosecution moving for bail cancellation, highlighting the need for the applicant to comply with the set terms to maintain the granted bail status.