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Sunday, May 6, 2012

Applicability of the doctrine of ‘Amity or Comity’ is the issue involved in these matters. 2. Petitioners are licensees under Section 4 of the Indian Telegraph Act, 1885. Respondents are also licensees operating in different circles. Petitioners provide for passive infrastructure to the Respondents herein. They entered into several agreements in this behalf. Inter-alia on the premise that the Respondent owes a huge sum of means to the Petitioners herein, these petitions have been filed.An application for winding up has also been filed by Etisalat Mauritius Ltd. against the Respondent herein. Kathawalla, J. of Bombay High Court in Company Petition No. 114 of 2012 passed the following order on 28.3.2012 :- “Since the Winding up Petition is already filed, the Company seeks permission of the Court to disburse the salaries of its employees in the sum of approximately Rs.9.00 Crores. The learned Advocates appearing for the Parties have no objection if the Company is allowed to pay the salaries of its employees for the month of March 2012. In view thereof, the Company is granted permission to disburse the salaries for the month of March 2012 to its employees which is approximately in the sum of Rs.9.00 Crores.. A court while exercising its judicial function would ordinarily not pass an order which would make one of the parties to the lis violate a lawful order passed by another court.” The doctrine of Amity or Comity would apply in a case where conflicting interim orders are passed. While passing an interim order in favour of the Petitioner, if due care is taken of the other orders passed by the Debts Recovery Tribunal and/or the High Courts of Delhi and Bombay, we are of the opinion that the said doctrine shall not be breached. 16. In a situation of this nature, we are of the opinion that interest of justice will be sub-served if in respect of the equipments of the Respondent, which are in possession and control of the Petitioner in terms of the agreement, it is restrained from interfering with the possession and/or transferring the said equipments which are not hypothecated to the bank and have been in possession and control of the Petitioners, and furthermore, it is restrained from disturbing the possession of the Petitioner with regard thereto. 17. There cannot be any doubt or dispute that even in the event the Receiver takes possession of the said equipments in terms of the order passed by Debts Recovery Tribunal, keeping in view the fact that the equipments belonging to the Respondent and are installed in the ‘towers’ belonging to the PetitionerPage 12 of 12 which are under its possession, it must give access to the Receiver with regard thereto. 18. Liberty is granted to the Petitioner, which even is otherwise available to it, to file an appropriate application(s) before the learned Company Judge as also before Debts Recovery Tribunal. Respondent, furthermore, is directed to bring to the notice of this Tribunal if the orders of the Hon’ble Delhi and Bombay High Court and the Hon’ble Debts Recovery Tribunal are in any way varied, modified or rescinded. 19. The hearing of this petition, however, shall be expedited.


Page 1 of 12
TELECOM DISPUTES SETTLEMENT & APPELLATE TRIBUNAL
        NEW DELHI
DATED 03RD MAY, 2012
                                           Petition No.75 of 2012
        (M.A. No.112 of 2012)
Reliance Infratel Ltd. … Petitioner
       
                      Vs.
Etisalat DB Telecom Pvt. Ltd. …       Respondent
                                           Petition No.76 of 2012
        (M.A. No.113 of 2012)
Reliance Communications Ltd. … Petitioner    
                      Vs.
Etisalat DB Telecom Pvt. Ltd. …       Respondent
BEFORE:
HON’BLE MR. JUSTICE S.B. SINHA, CHAIRPERSON
HON’BLE MR.P.K. RASTOGI, MEMBER
For Petitioner  : Mr.Ramji Srinivasan, Sr. Advocate
                                                         Mr. Tushad Cooper, Sr. Advocate
                                                         Ms. Yamini Roy, Advocate
For Respondent  : Mr. H.S. Chandoke, Advocate
                                                         Mr. Ashish Prasad, Advocate
                                                 Page 2 of 12
O R D E R
Applicability of the doctrine of ‘Amity or Comity’ is the issue involved in
these matters.
2. Petitioners are licensees under Section 4 of the Indian Telegraph Act,
1885. Respondents are also licensees operating in different circles.
Petitioners provide for passive infrastructure to the Respondents herein.
They entered into several agreements in this behalf.
Inter-alia on the premise that the Respondent owes a huge sum of means
to the Petitioners herein, these petitions have been filed.
Several interim prayers have been made in the petition being :-
(i) a direction to the Respondent to secure the outstanding of over
Rs.1270.45 crore as on 31.01.2012 by way of deposit in Court
and/or attachment of the equipments of the Respondent;
(ii) a direction to the Respondent to secure the outstanding
amount of Rs.1270.45 crore as on 31.01.2012, restraining the
Respondent from in any manner dealing with/disposing off or
parting with possession, alienating, transferring or  selling or
encumbering or creating third party rights or charge on any of
the assets and movable or immovable properties, advances,
loans etc. of the Respondent or on any part thereof;Page 3 of 12
(iii) attachment of all the movable and immovable properties of the
Respondent including but not limited to bank accounts/
machineries/equipments;
(iv) pending the hearing and final disposal of the Petition appoint
a competent person as receiver in respect of all the assets
both movable and immovable, and affairs of the Respondent;
(v) restrain the Respondent from interfering with the Petitioner‟s
possession and control of the existing sites including in
respect of the equipment installed by Respondent;
(vi) Petitioner shall be permitted to have lien on the Respondent‟s
equipments;
(vii) The Respondent be directed to disclose and/or furnish
information to the Petitioner of all its assets both movable and
immovable as also receivables.”
3. Respondent herein filed a short reply in respect of the said interim prayer
made by the Petitioner, wherein jurisdiction of this Tribunal was questioned.
4. By an order dated 10.04.2012, this Tribunal held that it has jurisdiction
to decide the issues between the parties. However, no ad-interim order was
passed in favour of the Petitioner as it had been brought to the notice of this
Tribunal that the Delhi High Court, while considering an application filed by Page 4 of 12
Viom  Networks  Ltd. had restrained the Respondent from transferring its
properties.
Respondent, however, has brought to our notice two other proceedings,
which have been initiated in the meantime.
Standard Chartered Bank has filed an application before the Debt
Recovery Tribunal at Mumbai and by an order dated 16.4.2012, it was
directed:-
“After hearing the Counsel for the Applicant and considering the
veracity of the matter, but without going into the merits of the main
O.A., the interim order is being passed against the Defendant,
allowing prayer 9 (b), (d), and (e). In the mean time, Mr. A. K. Singh,
Advocate, is hereby directed to appoint Advocate Commissioner/
Receiver by this Tribunal to take necessary inventory of the
hypothecated goods and as well as assets, belonging to Defendant
company in all the addresses/places which shall be provided by the
Applicant Bank. The Advocate Commissioner/Receiver is also
hereby directed to take possession of the invented hypothecated
goods and other assets belonging to Defendant company and keep
them under safe custody by appointment of necessary security
personnels to protect the same.
The Registrar I/c. of this Tribunal is hereby directed to issue
necessary Warrant of Appointment to Mr. A. K. Singh, Advocate,
within two days from today. A sum of Rs.30,000/- is fixed as initial
remuneration payable to the Advocate Commissioner/Receiver by
the Applicant Bank. The Advocate Commissioner/Receiver is hereby
directed to submit Status Report within four weeks from today.Page 5 of 12
In the mean time, in view of the aforesaid order passed by
this Tribunal, the Applicant Bank is hereby directed to give
necessary details of addresses/places wherein the Defendant
company keeping all its hypothecated goods and other assets
charged to the Applicant Bank within a week‟s time from today.
Further, under the principles of natural justice, one more fresh notice
is hereby directed to be served upon the Defendant company by the
Applicant Bank and file proof of service when the matter shall be
taken up for further proceedings.”
5. It has further  been placed on record that the said order has been
modified to the following effect :-
“i) Para No.2, (6th
line from the bottom) the word “unsecured”
shall be replaced with “secured” and the word “no security”
shall be replaced with “insufficient”;
ii) Para No.3 (5th
line from the top) the phrase „and the employees
were terminated‟ shall be replaced with “employees have left
the company”;
iii) Para No.3 (last line from the bottom) the word “unsecured”
shall be replaced with “secured” and the last line on that page
and first line on next page should read as “that the loan is a
secured one, but the Defendant is likely to remove”;
(iv) Para No.4 (4th
line from the bottom) after the Phrase „allowing
prayer 9(b), (d) and (e)‟ should be replaced with “allowing
prayer 10(b), (c) and (d) of the Interim application”;Page 6 of 12
(v) Para No.4 (last line from the bottom) needs to read as “Mr. A.
K. Singh, Advocate is directed to be appointed as Advocate
Commissioner/Receiver”.”
6. An application for winding up has also been filed by  Etisalat Mauritius
Ltd. against the Respondent herein.
Kathawalla, J. of  Bombay High Court  in Company Petition No. 114 of
2012 passed the following order on 28.3.2012 :-
“Since the Winding up Petition is already filed, the Company seeks
permission of the Court to disburse the salaries of its employees in
the sum of approximately Rs.9.00 Crores. The learned Advocates
appearing for the Parties have no objection if the Company is
allowed to pay the salaries of its employees for the month of March
2012. In view thereof, the Company is granted permission to
disburse the salaries for the month of March 2012 to its employees
which is approximately in the sum of Rs.9.00 Crores.”
7. We are informed that pursuant to and in furtherance of the said
directions, various creditors including the Petitioners herein had filed their
claims before the learned Company Judge.
In its order dated 11.04.2012, it was noticed :-Page 7 of 12
“Today several creditors of the Company have appeared before this
Court and have claimed that the Company owes them various
amounts ranging from Rs.60 Lacs to Rs.1,500 Crores. The Company
Petition is placed for admission on 18th April 2012. In the meantime,
the creditors/claimants shall, on or before 16th April 2012, file their
respective Affidavits before this Court setting out the particulars of
their claim against the Company along with documents in support
thereof and shall serve the same on the Advocates for the Parties.
Until further Orders, the Company shall not make any payments to
any of the creditors/claimants of the Company without obtaining
prior permission of this Court. This  Order is passed without
prejudice to the rights and contentions of the Parties.”
8. The interim order passed by the learned Company Judge is only to the
effect that the Respondent herein has been prohibited from paying any amount
to its creditors.
9. Mr. Ramji Srinivasan, learned senior counsel appearing on behalf of the
Petitioner would contend that there is no bar for this Tribunal to pass an
interim order so as to secure the interest of the Petitioner.Page 8 of 12
10. The Supreme Court of India in Centre for Public Interest Litigation Vs.
Union of India reported in (2012) 3 SCC 1 directed cancellation of the licences
held by the Petitioner. However, so as not to put the customers to any
disadvantage, the Petitioners have been permitted to carry out their operations
till 30.6.2012, which has since been extended to 31.8.2012.
11. Respondent has many creditors. Different creditors, as indicated
heretobefore, have approached different forums. Some interim orders have also
been passed in those proceedings.
12. Mr. Chandoke appearing for the Respondent would contend that keeping
in view the order passed by the Debts Recovery Tribunal at Bombay appointing
a Receiver/Advocate Commissioner, who not only  has been  directed to take
possession of all assets of the Respondent but also take  adequate  security
measures to protect such properties, o other or further interim order need be
passed in these proceedings.Page 9 of 12
13. Before us, leaned counsel for the Standard Chartered Bank has also
appeared, although so far it has neither been impleaded as a party nor has it
been allowed to intervene in the matter.
14. Keeping in view the order of this Tribunal that it has jurisdiction to
determine the disputes between the parties, there cannot be any doubt or
dispute that it has also the jurisdiction to pass interim orders.
Interim orders are  inter-alia  passed for the purpose of protecting the
subject matter of the dispute.
Petitioner cannot be put to any disadvantage only because other
creditors of the Respondent have approached the other forums.
While, however, saying so, we are not unmindful of the doctrine of Amity
or Comity.
In Prabhjot Singh Mand & Ors. Vs. Bhagwant Singh & Ors.  reported in
(2009) 9 SCC 435, the law is stated in the following terms :-
“This Court in  India Household and Healthcare Ltd. vs. LG
Household and Healthcare Ltd [(2007) 5 SCC 510] noticed:
17. This aspect of the matter has been considered in A
Treatise on the Law Governing Injunctions by Spelling and
Lewis wherein it is stated:Page 10 of 12
Section 8. Conflict and loss of jurisdiction.  --Where a
court having general jurisdiction and having acquired
jurisdiction of the subject- matter has issued an injunction, a
court of concurrent jurisdiction will usually refuse to interfere
by issuance of a second injunction. There is no established
rule of exclusion which would deprive a court of jurisdiction to
issue an injunction because of the issuance of an injunction
between the same parties appertaining to the same subjectmatter, but there is what may properly be termed a judicial
comity on the subject. And even where it is a case of one court
having refused to grant an injunction, while such refusal does
not exclude another coordinate court or Judge from
jurisdiction, yet the granting of the injunction by a second
Judge may lead to complications and retaliatory action....”
xxx xxx xxx
19. A court while exercising its judicial function would
ordinarily not pass an order which would make one of the
parties to the lis violate a lawful order passed by another
court.”
See also Tamilnad Mercantile Bank Shareholders Welfare
Association Vs. S.C. Sekar & Ors. reported in (2009) 2 SCC 784 and
Shankar Cooperative Housing Ltd. Vs. M. Prabhakar & Ors.  reported
in (2011) 5 SCC 607).Page 11 of 12
15. The doctrine of Amity or Comity would apply in a case where conflicting
interim orders are passed.
While passing an interim order in favour of the Petitioner, if due care is
taken of the  other orders passed by the Debts Recovery Tribunal and/or the
High Courts of Delhi and Bombay, we are of the opinion that the said doctrine
shall not be breached.
16. In a situation of this nature, we are of the opinion that interest of justice
will be sub-served if in respect of the equipments of the Respondent, which are
in possession and control of the Petitioner in terms of the agreement,  it is
restrained from interfering with the possession and/or transferring the  said
equipments which are not hypothecated to the bank and have been in
possession and control of the Petitioners, and furthermore, it is restrained from
disturbing the possession of the Petitioner with regard thereto.
17. There cannot be any doubt or dispute that even in the event the Receiver
takes possession of the said equipments in terms of the order passed by Debts
Recovery Tribunal, keeping in view the fact that the equipments belonging to
the Respondent and are installed in the  ‘towers’ belonging to the PetitionerPage 12 of 12
which are under its possession, it must give access to the Receiver with regard
thereto.
18. Liberty is granted to the Petitioner, which even is otherwise available to
it, to file an appropriate application(s) before the learned Company Judge as
also before Debts Recovery Tribunal.
Respondent, furthermore, is directed to bring to the notice of this
Tribunal if the orders of the Hon’ble  Delhi and Bombay High Court and the
Hon’ble Debts Recovery Tribunal are in any way varied, modified or rescinded.
19. The hearing of this petition, however, shall be expedited.
..……….......
(S.B. Sinha)
Chairperson
……………….
(P.K. Rastogi)
Member
rkc

When the theft of the vehicle was done, immediate complaint and report of insurance investigator report is enough to settle the claim , no need for stressing to produce untraced certificate from the court, pending the matter without settling on that ground amounts to deficient service = The investigator appointed by the OP/insurance co. submitted his report on 8.2.2006 in which the facts of the case were found to be genuine. But instead of settling the claim on that basis, the insurance co. asked the Complainant to produce the untraced report as accepted by the Court The requirement of the insurance policy in Condition No.1-- which says that in case of theft or criminal act which may be the subject of a claim under this Policy the insured shall give immediate notice to the police-- had been met. The acceptance of the untraced report by the Court could not have been a pre-condition for settlement of the claim. In terms of the conditions contained in the Policy, liability for payment of ‘consequential losses’ is expressly excluded.9. The term “consequential loss” is defined in Black’s Law Dictionary (9th Edition) as – “A loss arising from the results of damage rather than from the damage itself. A consequential loss is proximate when the natural and probable effect of the wrongful conduct, under the circumstances, is to set in operation the intervening cause from which the loss directly results. When the loss is not the natural and probable effect of the wrongful conduct, the loss is remote.” 11. Therefore, accepting the argument advanced against compensation for consequential loss and taking into account the compensation allowed by the State Commission for pain and agony suffered by the Complainant, we consider it just and proper to reduce the total compensation amount from Rs.86425/- awarded in the impugned order to Rs.36425/-



NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION
NEW DELHI
                                                         
FIRST APPEAL NO. 789 OF 2006
(Against the order dated 14.11.2006 in Complaint Case No.20 of 2006 of the State Commission, UT Chandigarh )


The New India Assurance Co. Ltd.
A Company Incorporated under
The Companies Act, having its
Registered Office at
87, M.G. Road, Fort, Mumbai
And Regional Office at
Jeevan Bharti Building, Level V
Tower II, 124, Connaught Circus,
New Delhi- 110 001,  AND
Also
Divisional Office at SCO No.104-106
Sector 34-A, Chandigarh                                                                                 ……….Appellant
                                                                            
Versus

Sanjiv Bansal
S/o Shri B. R. Bansal
Resident of House No.82
Sector -8, Panchkula                                                                                        .........Respondent


BEFORE
HON’BLE MR. JUSTICE V.B. GUPTA,
                              PRESIDING MEMBER
HON’BLE MR. VINAY KUMAR, MEMBER


For the Appellants         :   Ms. Meenakshi Midha, Advocate
                                          For Mr. Niraj Singh, Advocate

For the Respondents     :   Mr. Himanshu Gupta,  Advocate

               

PRONOUNCED ON:   01.05.2012    


ORDER

PER MR.VINAY KUMAR, MEMBER

This appeal is filed by the New India Assurance Company Ltd. against the order of the State Consumer Disputes Redressal Commission, UT of Chandigarh, in Consumer Complaint No.20 of 2006.  The facts as seen from the records of the case, are that the vehicle of the respondent/Complainant, which was registered with the appellant/OP, was stolen on 3.12.2005.  After filing an FIR on 4.12.2005, a claim under the insurance policy was made on 29.12.2005.  The insurance company appointed an investigator to report on this incident.  His report was submitted on 8.2.2006. But even thereafter, when the appellant insurance co. did not settle the claim, a consumer complaint was filed before the State Commission on 18.4.2006.

2.      The case of the Complainant was that the insurance co. had taken four months and had yet not decided the claim.  Due to this delay the Complainant had to per force continue to make payment of EMIs of Rs.45,710/- towards the loan taken for financing the vehicle.

3.      The State Commission observed that the investigator appointed by the OP/insurance co. submitted his report on 8.2.2006 in which the facts of the case were found to be genuine.  But instead of settling the claim on that basis, the insurance co. asked the Complainant to produce the untraced report as accepted by the Court.  Appellant/OP failed to produce any rule or regulation before the State Commission, which could have justified their demand for the untraced report with its acceptance by the Court.

4.      The State Commission has taken note of the fact that the vehicle was eventually recovered by the Police on 15.8.2006 along with certain other stolen vehicles from KhannaDistrict and had been handed over the Complainant, after completing the formalities. However, the Commission held that even if the claim had been settled in March, 2006, the Complainant would have been in a position to repay the entire balance of the car loan.  In any case, interest liability on this loan for this period from April, 2006 to August, 2006 would have been avoided.  This was held to be a loss caused to the Complainant due to deficiency of service or negligence on the part of the OP. The State Commission therefore, awarded a total compensation of Rs.86425/- including the amount towards interests on the loan for the period mentioned above.

5.      We have carefully seen the records of the case, and heard Ms. Minakshi Midha, Advocate for the appellant and Mr. Himanshu Gupta, Advocate for the respondent/Complainant. A perusal of the memorandum of appeal filed on behalf of New India Assurance Co. Ltd. shows that the appellant has primarily re-agitated the same grounds, which were raised before the State Commission.  It is claimed that the State Commission has failed to appreciate that in theft cases the claim cannot be settled without the untraced report.  We find it necessary to observe that the appellant had an opportunity to satisfy the State Commission on this point.  But, as categorically observed by the State Commission, the appellant failed to show the rule/regulation under which the untraced report was made a precondition to settlement of the claim. We therefore, have no hesitation in rejecting this contention of the appellant.

6.      Learned counsel for the respondent/Complainant also pointed out before us that the requirement of the insurance policy in Condition No.1-- which says that in case of theft or criminal act which may be the subject of a claim under this Policy the insured shall give immediate notice to the police-- had been met.  The Complainant had complied with this condition by filing an FIR with the local police, the very next day after the theft.
      
7.      In the written response before the State Commission, the OP/insurance company has emphatically asserted that for settlement of his claim, the Complainant was required to produce the untraced report, as accepted by the court. Even in the appeal memorandum the same ground has been repeatedly stressed.  However, while claiming that there is no deficiency on their part, the appellant mentions in para 2.8 of the appeal memorandum that after receiving the untraced report on 14.7.2006, the appellant had settled the claim of the respondent on 14.8.2006. But, before the same could be communicated to the respondent/Complainant, the vehicle itself was recovered by the police and returned to the Complainant.  This has been commented upon by the respondent/Complainant in the written objection filed in this Commission.  It is pointed out that when the claim of the Complainant was settled on 14.8.2006, the untraced report was still awaiting acceptance by the Court.  No attempt has been made on behalf of the appellant to clarify this.  It is therefore, clear that acceptance of the untraced report by the Court could not have been a pre-condition for settlement of the claim. Else, the appellant/OP could not have settled it. 

8.      The appeal memorandum also questions the award of compensation when the vehicle had already been recovered and handed over to the Complainant.  During the course of the arguments, learned counsel for the appellant further argued that it was wrong to award a compensation of Rs.50,000/- “ for loss on account of non-availability of vehicle for his professional and personal activities”, as in terms of the conditions contained in the Policy, liability for payment of ‘consequential losses’ is expressly excluded. It was argued that non-availability of the vehicle was the direct consequence of its theft.

9.      The term “consequential loss” is defined in Black’s Law Dictionary (9th Edition) as – “A loss arising from the results of damage rather than from the damage itself. A consequential loss is proximate when the natural and probable effect of the wrongful conduct, under the circumstances, is to set in operation the intervening cause from which the loss directly results.  When the loss is not the natural and probable effect of the wrongful conduct, the loss is remote.”

10.    It is therefore clear that the loss suffered by the respondent/Complainant due to non-availability of the vehicle for use, was in the nature of a direct consequential loss resulting from the theft of the vehicle.  In this context, we also note that the State Commission has separately awarded a compensation of Rs.30,000/- for pain and agony suffered by the Complainant due to delay on the part of the appellant in settlement of the claim, in addition to the loss  resulting from outgo of interest on the EMIs, payable by the Complainant. 

11.    Therefore, accepting the argument advanced against compensation for consequential loss and taking into account the compensation allowed by the State Commission for pain and agony suffered by the Complainant, we consider it just and proper to reduce the total compensation amount from Rs.86425/- awarded in the impugned order to Rs.36425/-

12.    In the result, we agree with the State Commission that delay in settlement of the claim amounted to deficiency of service.  However, for reasons detailed in earlier paragraphs of this order, the quantum of total compensation is reduced from Rs.86425/- to Rs.36425/-.  Orders of the State Commission in relation to award of cost and interest remain unchanged. The appeal is partially allowed in the aforesaid terms.                  
.………………Sd/-…………
(V.B.GUPTA,J.)
PRESIDING MEMBER

………………Sd/-………….
(VINAY KUMAR)
                                                                                                                                              MEMBER
s./-

Saturday, May 5, 2012

The competent court has to give anticipatory bail or to reject the same but it has no power to give direction to lower court to grant the bail when the accused moved . The High court committed error in this case.On a perusal of both the orders it is perceivable that the commonality in both the orders is that while the High Court had expressed its opinion that though it is not inclined to grant anticipatory bail to the petitioners yet it has directed on their surrender some of the accused petitioners would be enlarged on bail on such terms and conditions as may be deemed fit and proper by the concerned Sub Divisional Judicial Magistrate and cases of certain accused persons on surrender shall be dealt with on their own merits. In the case at hand the direction to admit the accused persons to bail on their surrendering has no sanction in law and, in fact, creates a dent in the sacrosanctity of law. It is contradictory in terms and law does not countenance paradoxes. It gains respectability and acceptability when its solemnity is maintained. Passing such kind of orders the interest of the collective at large and that of the individual victims is jeopardised. That apart, it curtails the power of the regular court dealing with the bail applications. 32. In this regard it is to be borne in mind that a court of law has to act within the statutory command and not deviate from it. It is a well settled proposition of law what cannot be done directly, cannot be done indirectly. While exercising a statutory power a court is bound to act within the four corners thereof. The statutory exercise of power stands on a different footing than exercise of power of judicial review. This has been so stated in Bay Berry Apartments (P) Ltd. and Anr. v. Shobha and Ors.[15] and U.P. State Brassware Corporation Ltd. and Anr. v. Uday Narain Pandey[16]. 33. Judging on the foundation of aforesaid well settled principles, the irresistible conclusion is that the impugned orders directing enlargement of bail of the accused persons, namely, Uttam Das, Abhimanyu Das and Murlidhar Patra by the Magistrate on their surrendering are wholly unsustainable and bound to founder and accordingly the said directions are set aside. Consequently the bail bonds of the aforenamed accused persons are cancelled and they shall be taken into custody forthwith. It needs no special emphasis to state that they are entitled to move applications for grant of bail under Section 439 of the Code which shall be considered on their own merits. 34. The appeals are accordingly disposed of.


                        IN THE SUPREME COURT OF INDIA
            CRIMINAL APPELLATE JURISDICTION

                     CRIMINAL APPEAL NO.  750   OF 2012
             (Arising out of S.L.P. (Criminal) No. 7281 of 2011




      Rashmi Rekha Thatoi & Anr.                  ... Appellants
                                   Versus
      State of Orissa & Ors.                      ... Respondents
                                   WITH

                     CRIMINAL APPEAL NO.  751   OF 2012
             (Arising out of S.L.P. (Criminal) No. 7286 of 2011




                               J U D G M E N T


      Dipak Misra, J.


      Leave granted in both the petitions.

2.     “Liberty  is  to  the  collective  body,  what  health  is  to  every
individual body. Without health no pleasure can be tasted  by  man;  without
Liberty, no happiness can be enjoyed by society.”

      Thus spoke Bolingbroke.

3.    Liberty is the precious possession of the human  soul.  No  one  would
barter it for  all  the  tea  in  China.   Not  for  nothing  Patrick  Henry
thundered:
        "Is life so dear, or peace so sweet, as  to  be  purchased  at  the
        price of chains and slavery? Forbid it, Almighty God ! I  know  not
        what course others may take, but as for me,  give  me  liberty,  or
        give me death !"

      The thought of losing one's liberty immediately brings  in  a  feeling
of fear,  a  shiver  in  the  spine,  an  anguish  of  terrible  trauma,  an
uncontrollable agony, a penetrating nightmarish perplexity and above  all  a
sense of vacuum withering the very  essence  of  existence.  It  is  because
liberty is deep as eternity and deprivation of  it,  infernal.  May  be  for
this protectors of liberty ask, "How acquisition of  entire  wealth  of  the
world would be of any consequence if one's soul is lost?" It has been  quite
often said that life without liberty is eyes without  vision,  ears  without
hearing power and mind without coherent thinking faculty.
4.    Almost two centuries and a decade back thus spoke Edmund Burke: -
             “Men are qualified for civil liberty, in  exact  proportion  to
             their disposition to put moral chains upon their own appetites;
             in proportion as their love to justice is above their rapacity;
             in proportion as their soundness and sobriety of  understanding
             is above their vanity and presumption; in  proportion  as  they
             are more disposed to listen to the  counsel  of  the  wise  and
             good, in preference to the flattery of knaves.  Society  cannot
             exist unless a controlling power  upon  will  and  appetite  be
             placed somewhere and the less of it there is within,  the  more
             there  must  be  without.  It  is  ordained  in   the   eternal
             constitution of things that men of intemperate minds cannot  be
             free. Their passions forge their fetters.”
5.    Similar voice was echoed by E.  Barrett  Prettyman,  a  retired  Chief
Judge of U.S. Court of Appeals:-
            “In an ordered society of mankind there  is  no  such  thing  as
            unrestricted liberty,  either  of  nations  or  of  individuals.
            Liberty itself is the product restraints;  it  is  inherently  a
            composite of restraints; it dies when restraints are  withdrawn.
            Freedom, I say, is  not  an  absence  of  restraints;  it  is  a
            composite of restraints. There  is  no  liberty  without  order.
            There is no order without systematized restraint. Restraints are
            the substance without which liberty does not exist. They are the
            essence of liberty. The great problem of the democratic  process
            is not to strip men  of  restraints  merely  because  'they  are
            restraints.  The  great  problem  is  to  design  a  system   of
            restraints which will nurture the maximum development  of  man's
            capabilities, not in a massive globe of faceless animations  but
            as a perfect realization, of each separate human mind, soul  and
            body; not  in  mute,  motionless  meditation  but  in  flashing,
            thrashing activity.”
6.    Keeping the cherished idea of liberty in  mind,  the  fathers  of  our
Constitution engrafted in its Preamble:  "Liberty  of  thought,  expression,
belief, faith and worship."  After  a  lot  of  debate  in  the  Constituent
Assembly, Article 21 of the Constitution came into existence in the  present
form laying down in categorical terms that no person shall  be  deprived  of
his life and personal liberty except according to the procedure  established
by law.
7.    We have begun with the aforesaid prologue,  as  the  seminal  question
that falls for consideration in these appeals is  whether  the  High  Court,
despite the value attached to  the  concept  of  liberty,  could  afford  to
vaporise the statutory mandate enshrined under Section 438 of  the  Code  of
Criminal Procedure (for short ‘the Code’).  It is not to be  forgotten  that
liberty is not  an  absolute  abstract  concept.   True  it  is,  individual
liberty is a very significant aspect of human existence but  it  has  to  be
guided and governed by law.  Liberty is to be sustained  and  achieved  when
it sought to be taken away by permissible legal parameters.  A court of  law
is required to be guided by the  defined  jurisdiction  and  not  deal  with
matters being in the realm of sympathy or fancy.
8.    Presently to the narration.  In these two appeals arising out  of  SLP
No. 7281 of 2011 and 7286 of 2011, the challenge  is  to  the  orders  dated
22.07.2011 and 05.08.2011 in BLAPL No. 13036  of  2011  and  12975  of  2011
respectively passed by the High Court of Judicature of Orissa at Cuttack  in
respect of five accused persons under Section 438 of the Code pertaining  to
offences punishable under Section 341/294/506 and 302 read with  Section  34
of  the  Indian  Penal  Code  (for  short  “the  IPC”)  in  connection  with
Binjharpur PS Case No. 88/2011 corresponding to GR  Case  No.  343  of  2011
pending in the Court of learned SDJM, Jajpur.

9.    The present appeals have been preferred by the sister of the  deceased
and the complainant, an eye witness, seeking quashing of the orders  on  the
foundation that the High Court has extended the benefit of Section  438  (1)
of the Code in an illegal and impermissible manner.

10.   The facts that had formed the bedrock in setting the criminal  law  in
motion need not be stated, for the nature of orders passed by High Court  in
both the cases have their own peculiarity.  If we  allow  ourselves  to  say
they have  the  enormous  potentiality  to  create  colossal  puzzlement  as
regards the exercise of power under Section 438 of the Code.

11.   While dealing with the case of accused Uttam Das and Ranjit Das,  vide
order dated 22.07.2011 the High Court, as stated, perused the case file  and
passed the following order.

           “Considering the facts and circumstances of  the  case  and  the
           materials available on record, this Court  is  not  inclined  to
           grant anticipatory bail to the petitioners.  This court  directs
           that if petitioner No. 1 Uttam Das surrenders before the learned
           S.D.J.M., Jajpur and  moves  an  application  for  bail  in  the
           aforesaid case, in such event the learned S.D.J.M. shall release
           him on bail on such terms and conditions as he may deem fit  and
           proper.

                 So far as petitioner No. 2 Ranjit Das is  concerned,  this
           court directs him to  surrender  before  the  learned  S.D.J.M.,
           Jajpur and move an application for bail in connection  with  the
           aforesaid  case,  in  such  event  his  application   shall   be
           considered by the learned S.D.J.M., on its own merits.

                 The Bail Application is accordingly disposed of.”

                                                       [Underlining is ours]

12.   In the case of the  other  accused  persons,  namely,  Abhimanyu  Das,
Murlidhar Patra and Bhagu Das the  High  Court  on  05.08.2011   passed  the
order on following terms.

                 “Considering the facts and circumstances of the case  this
           Court  is  not  inclined  to  grant  anticipatory  bail  to  the
           petitioners.  Since there are some materials against Bhagu Das @
           Sanjit Kumar Das petitioner No. 3, this Court  directs  that  in
           case petitioner No. 3 surrenders  before  the  leaned  S.D.J.M.,
           Jajpur and moves an application for bail, the  learned  S.D.J.M.
           shall consider and dispose of the  same  on  its  own  merit  in
           accordance with law.

                 So far as the prayer for bail of petitioner Nos. 1  and  2
           is concerned since one of the co-accused namely, Uttam  Das  has
           been released on bail in pursuance  of  order  dated  02.07.2011
           passed by this Court in BLAPL No. 13036 of 2011  and  petitioner
           Nos. 1 and 2 stands on similar  footing  with  co-accused  Uttam
           Das, this Court directs that in case petitioner  Nos.  1  and  2
           surrender before  the  learned  S.D.J.M.,  Jajpur  and  move  an
           application for bail, the learned S.D.J.M., shall  release  them
           on bail on such terms and conditions as  he  may  deem  fit  and
           proper with further condition that petitioner Nos. 1 and 2 shall
           give an undertaking before the Court below that  they  will  not
           commit any similar type of offence.  In case  any  complaint  is
           received against them that will amount to cancellation of bail”

                                                         [Emphasis supplied]

13.    On  a  perusal  of  both  the  orders  it  is  perceivable  that  the
commonality in both the orders is that while the High  Court  had  expressed
its opinion that though it is not inclined to  grant  anticipatory  bail  to
the petitioners yet it has directed on their surrender  some of the  accused
petitioners would be enlarged on bail on such terms and  conditions  as  may
be  deemed  fit  and  proper  by  the  concerned  Sub  Divisional   Judicial
Magistrate and cases of certain accused persons on surrender shall be  dealt
with on their own merits.

14.   The learned counsel for the petitioner has  contended  that  the  High
Court has gravely flawed in passing such  kind  of  orders  in  exercise  of
power under Section 438 of the Code which the law does not countenance  and,
therefore, they deserved to be lancinated.   It is  his  further  submission
that when the accused persons are involved  in  such  serious  offences  the
High Court could  not  have  dealt  with  them  by  taking  recourse  to  an
innovative method which has no sanction in law.

15.   The learned counsel for the respondent made a very feeble  attempt  to
support the orders.

16.   The pivotal issue that  emanates  for  consideration  is  whether  the
orders passed by the High Court  are  legitimately  acceptable  and  legally
sustainable within the ambit and sweep of  Section  438  of  the  Code.   To
appreciate the defensibility of the order it is condign to refer to  Section
438 of the Code which reads as follows.

           “438. Direction for grant of bail to person apprehending arrest.-
           -(1) Where any person has reason  to  believe  that  he  may  be
           arrested  on  accusation  of  having  committed  a  non-bailable
           offence, he may apply to the High Court or the Court of  Session
           for a direction under this section that in  the  event  of  such
           arrest he shall be released on bail; and that Court  may,  after
           taking into consideration, inter alia,  the  following  factors,
           namely:-
           
                 (i) the nature and gravity of the accusation;
                 
                 (ii) the antecedents of the applicant including the fact as
                 to whether he  has  previously  undergone  imprisonment  on
                 conviction by a Court in respect of any cognizable offence;
                 
                 (iii)  the  possibility  of  the  applicant  to  flee  from
                 justice; and
                 
                 (iv) where the accusation has been made with the object  of
                 injuring or humiliating the  applicant  by  having  him  so
                 arrested,
                 
           either reject the application  forthwith  or  issue  an  interim
           order for the grant of anticipatory bail:
           
           Provided that, where the High Court or, as the case may be,  the
           Court of Session, has not passed any interim  order  under  this
           sub-section  or  has  rejected  the  application  for  grant  of
           anticipatory bail, it shall be open to an officer in-charge of a
           police station to arrest, without warrant the applicant  on  the
           basis of the accusation apprehended in such application.
           
           (1A) Where the Court grants an interim order  under  sub-section
           (1), it shall forthwith cause a notice being not less than seven
           days notice, together with a copy of such order to be served  on
           the Public Prosecutor and the Superintendent of Police,  with  a
           view to give the Public Prosecutor a reasonable  opportunity  of
           being heard when the application shall be finally heard  by  the
           Court.
           
           (1B) The presence of the  applicant  seeking  anticipatory  bail
           shall be  obligatory  at  the  time  of  final  hearing  of  the
           application and passing of final order by the Court,  if  on  an
           application made to it  by  the  Public  Prosecutor,  the  Court
           considers such presence necessary in the interest of justice.
           
           (2) When the  High  Court  or  the  Court  of  Session  makes  a
           direction under sub-section (1), it may include such  conditions
           in such directions in the light of the facts of  the  particular
           case, as it may thinks fit, including -
           
                 (i)  a  condition  that  the  person  shall  make   himself
                 available for interrogation by a police officer as and when
                 required;
                 
                 (ii) a condition that the person  shall  not,  directly  or
                 indirectly, make any inducement, threat or promise  to  any
                 person acquainted with the facts  of  the  case  so  as  to
                 dissuade him from disclosing such facts to the court or  to
                 any police officer;
                 
                 (iii) a condition that the person  shall  not  leave  India
                 without the previous permission of the court;
                 
                 (iv) such other condition as  may  be  imposed  under  sub-
                 section (3) of section 437, as if  the  bail  were  granted
                 -under that section.
           
           (3) If such person is thereafter arrested without warrant by  an
           officer in charge of a police station on such accusation, and is
           prepared either at the time of arrest or at any  time  while  in
           the custody of such officer to give bail, he shall  be  released
           on bail, and if a Magistrate taking cognizance of  such  offence
           decides that a  warrant  should  issue  in  the  first  instance
           against that person,  he  shall  issue  a  bailable  warrant  in
           conformity with the direction of  the  court  under  sub-section
           (1).”
           
17.   The aforesaid provision in  its  denotative  compass  and  connotative
expanse enables one to apply and submit an application for  bail  where  one
anticipates his arrest in a non-bailable  offence.    Though  the  provision
does not use the expression anticipatory bail, yet  the  same  has  come  in
vogue by general usage and also has gained acceptation in the legal world.

18.   The Constitution Bench in Gurbaksh Singh Sibbia etc. v. The  State  of
Punjab[1], has drawn a distinction between an order  of  ordinary  bail  and
order of anticipatory bail by stating that the former is  granted  when  the
accused is in custody and, therefore, means release from the custody of  the
Police, and the latter is granted  in  anticipation  of  arrest  and  hence,
effective at the very moment of arrest.    It  has  been  held  therein,  an
order of anticipatory bail constitutes, so  to  say,  an  insurance  against
Police custody falling upon arrest for offences  in  respect  of  which  the
order is issued.  Their Lordships clarifying the distinction  have  observed
that unlike a post-arrest order of bail, it is a  pre-arrest  legal  process
which directs that if the person in whose favour it is issued is  thereafter
arrested on the accusation in respect of which the direction is  issued,  he
shall be released on bail.

19.   The Constitution Bench partly accepted the verdict in Balchand Jain  v
State of Madhya Pradesh[2] by stating as follows:-

           “We agree, with respect, that the power conferred by S.  438  is
           of an extraordinary character  in  the  sense  indicated  above,
           namely, that it is not ordinarily resorted  to  like  the  power
           conferred by Ss. 437 and 439.  We also agree that the  power  to
           grant anticipatory bail should be exercised with  due  care  and
           circumspection.”

20.   Thereafter, the larger  Bench  referred  to  the  concept  of  liberty
engrafted in Article 21 of the Constitution, situational and  circumstantial
differences from case to case and observed that in  regard  to  anticipatory
bail, if the proposed  accusation  appears  to  stem  not  from  motives  of
furthering the ends of justice but from some  ulterior  motive,  the  object
being to injure and humiliate  the  applicant  by  having  him  arrested,  a
direction for the release of the applicant on  bail  in  the  event  of  his
arrest would generally be made.  On the other hand, if  it  appears  likely,
considering the antecedents of the applicant, that taking advantage  of  the
order of anticipatory bail he will flee from justice, such  an  order  would
not be made.  However, it cannot be laid down as  an  inexorable  rule  that
anticipatory bail cannot be granted unless the proposed  accusation  appears
to be actuated by mala fides; and equally, that anticipatory  bail  must  be
granted  if  there  is  no  fear  that  the  applicant  will  abscond.   The
Constitution Bench also opined the Court has to take into consideration  the
combined effect of several other considerations which are  too  numerous  to
enumerate and the legislature has endowed the  responsibility  on  the  High
Court and the Court of Session because of their experience.

21.   The Constitution Bench proceeded to state  the  essential  concept  of
exercise of jurisdiction under Section 438 of the Code on following terms:-

           “Exercise of jurisdiction under Section 438 of Code of  Criminal
           Procedure is extremely important judicial function  of  a  judge
           and must be entrusted to judicial officers with some  experience
           and good track record. Both individual and  society  have  vital
           interest in orders passed by the  courts  in  anticipatory  bail
           applications.”


22.   In Savitri Agarwal v. State of  Maharashtra  and  Anr.[3],  the  Bench
culled out the principles  laid  down  in  Gurbaksh  Singh  (supra).    Some
principles which are necessary to be reproduced are as follows:-

           “ (i) Before power under Sub-section (1) of  Section 438 of  the
           Code  is  exercised,  the  Court  must  be  satisfied  that  the
           applicant invoking the provision has reason to believe  that  he
           is likely to be arrested for a  non-bailable  offence  and  that
           belief must be founded on reasonable grounds. Mere "fear" is not
           belief, for which reason, it is not enough for the applicant  to
           show that he has some sort of vague apprehension that  some  one
           is going to make an accusation  against  him,  in  pursuance  of
           which he may be arrested. The grounds on which the belief of the
           applicant is based that he may be arrested  for  a  non-bailable
           offence,  must  be  capable  of  being  examined  by  the  Court
           objectively. Specific events and facts must be disclosed by  the
           applicant  in  order  to  enable  the  Court  to  judge  of  the
           reasonableness of his belief, the existence of which is the sine
           qua non of the exercise of power conferred by the Section.


           ii) The provisions of Section 438 cannot be  invoked  after  the
           arrest of the accused. After arrest, the accused must  seek  his
           remedy under Section437 or Section 439 of the Code, if he  wants
           to be released on bail in respect of the offence or offences for
           which he is arrested.

           viii) An interim bail order can be passed  under  Section 438 of
           the Code without notice to  the  Public  Prosecutor  but  notice
           should be issued to the Public Prosecutor or to  the  Government
           advocate forthwith and  the  question  of  bail  should  be  re-
           examined in the light of respective contentions of the  parties.
           The ad-interim order too must conform to the requirements of the
           Section  and  suitable  conditions  should  be  imposed  on  the
           applicant even at that stage.”



23.   At this  juncture  we  may  note  with  profit  that  there  was  some
departure in certain decisions after the Constitution  Bench  decision.   In
Salauddin Abdulsamad Shaikh v. State of Maharashta[4], it was held  that  it
was necessary that  under  certain  circumstances  anticipatory  bail  order
should be of a limited duration only and ordinarily on the  expiry  of  that
duration or extended duration the Court granting  anticipatory  bail  should
leave it to the regular court to deal with the  matter  on  appreciation  of
material placed before it.

24.   In K. L. Verma v. State  and  Anr.[5],   it  was  ruled  that  limited
duration must be determined having regard to the facts of the case  and  the
need to give  the accused sufficient time to  move  the  court  for  regular
bail and to give the regular court sufficient time  to  determine  the  bail
application.    It  was  further  observed  therein  that  till   the   bail
application is disposed of one way or the other, the  Court  may  allow  the
accused to remain on anticipatory bail.

25.    In  Nirmal  Jeet  Kaur  v.   State   of   M.   P.   and   Another[6],
           the decision in K. L.  Verma’s  case  (supra)  was  clarified  by
stating that the benefit of anticipatory  bail  may  be  extended  few  days
thereafter to enable the accused persons to move the High Court if  they  so
desire.

26.   In Adri Dharan Das v. State  of  West  Bengal[7],  a  two-Judge  Bench
while accepting for grant of bail for limited duration has held that  arrest
is a part of  the  process  of  investigation  intended  to  secure  several
purposes. The accused may have to be questioned in detail regarding  various
facets of motive, preparation, commission and aftermath  of  the  crime  and
the connection of other  persons,  if  any,  in  the  crime.  There  may  be
circumstances in which  the  accused  may  provide  information  leading  to
discovery of material facts. It may be necessary to curtail his  freedom  in
order to enable the  investigation  to  proceed  without  hindrance  and  to
protect witnesses and persons connected with the victim  of  the  crime,  to
prevent his disappearance to maintain law and order  in  the  locality.  For
these or other reasons, arrest may become inevitable part of the process  of
investigation. The legality of the proposed arrest cannot be  gone  into  in
an application under Section 438 of the Code. The role of  the  investigator
is well-defined and the jurisdictional scope of interference  by  the  Court
in the process of investigation is limited. The Court  ordinarily  will  not
interfere with the investigation of a crime or with the  arrest  of  accused
in a cognizable offence. An interim  order  restraining  arrest,  if  passed
while dealing with an application under Section 438 of the Code will  amount
to interference in the investigation, which cannot, at  any  rate,  be  done
under Section 438 of the Code.


27.   After analysing the ratio in the cases of Salauddin Abdulsamad  Shaikh
(supra), K. L. Verma (supra), Nirmal Jeet Kaur (supra), Niranjan  Singh  and
Anr. v. Prabhakar Rajaram Kharote and Ors.[8] the Bench opined thus:-

           “14. After analyzing the crucial question is when a person is in
           custody, within the meaning of Section 439  of the Code, it  was
           held in Nirmal Jeet Kaur's case (supra)  and Sunita  Devi's case
           (supra) that for making  an  application  under  Section 439 the
           fundamental  requirement  is  that  the  accused  should  be  in
           custody. As observed in Salauddin's case (supra) the  protection
           in terms of Section 438 is for a limited duration  during  which
           the regular Court has to be moved for bail. Obviously, such bail
           is bail in terms  of  Section 439 of  the  Code,  mandating  the
           applicant to be in custody. Otherwise, the  distinction  between
           orders under Sections 438 and 439 shall be rendered  meaningless
           and redundant.
           15. If the protective umbrella of Section 438 is extended beyond
           what was laid down in Salauddin's case (supra) the result  would
           be clear bypassing of what is mandated in  Section 439 regarding
           custody. In other words, till the applicant avails  remedies  up
           to higher Courts, the requirements  of  Section 439 become  dead
           letter. No part of a statute can be rendered redundant  in  that
           manner.”


28.   In Union of India v. Padam Narain Agarwal[9] this Court while  dealing
with an order wherein the  High  Court  had  directed  that  the  respondent
therein shall appear before the concerned customs  authorities  in  response
to the summons issued to them and in case the  custom  authorities  found  a
non-bailable against the accused persons they shall not arrest  without  ten
days prior notice to them. The two-Judge Bench relied on  the  decisions  in
Gurbaksh Singh Sibbia  (supra),  Adri  Dharan  Das  (supra),  and  State  of
Mahrashtra v. Mohd. Rashid and Anr.[10] and eventually held thus:-
           “In our judgment, on the facts and in the circumstances  of  the
           present case, neither of the above directions can be said to  be
           legal, valid  or  in  consonance  with  law. Firstly, the  order
           passed by the High  Court  is  a blanket  one  as  held  by  the
           Constitution Bench of this Court in Gurbaksh Singh and seeks  to
           grant protection to respondents in respect  of any  non-bailable
           offence.  Secondly, it  illegally  obstructs,   interferes   and
           curtails  the  authority  of  Custom  Officers  from  exercising
           statutory power of arrest a person said to have committed a non-
           bailable offence by imposing  a  condition  of  giving ten  days
           prior notice, a condition not warranted by law. The order passed
           by the High Court to the extent  of  directions  issued  to  the
           Custom Authorities is, therefore, liable to be set aside and  is
           hereby set aside.”
29.   Be it noted, the  principle  of  grant  of  anticipatory  bail  for  a
limited duration in cases of Salauddin  Abdulsamad  Shaikh  (supra),  K.  L.
Verma (supra), Adri Dharan Das (supra), Sunita Devi  v.  State  of  Bihar  &
Anr.[11] was held to be contrary to the Constitution  decision  in  Gurbaksh
Singh Sibbia’s case (supra) by a two-Judge Bench  in  Siddharam  Satlingappa
Mhetre v. State of  Maharashtra  and  Ors.[12]   and  accordingly  the  said
decisions were treated as per incurium.   It  is  worth  noting  though  the
Bench treated Adri Dharan Das (supra) to be  per  incuriam,  as  far  as  it
pertained to grant of anticipatory bail for limited  duration,  yet  it  has
not held  that  the  view  expressed  therein  that  the  earlier  decisions
pertaining to the concept of  deemed  custody  as  laid  down  in  Salauddin
Abdulsamad Shaikh (supra) and similar line of cases was  per  incuriam.   It
is so as the introversy involved in  Siddharam  Satlingappa  Mhetre  (supra)
did not relate to the said arena.

30.   We have referred to the aforesaid pronouncements to highlight how  the
Constitution Bench  in  the  case  of  Gurbaksh  Singh  Sibbia  (supra)  had
analysed and explained the intrinsic underlying concepts under  Section  438
of the Code, the nature of orders to be passed  while  conferring  the  said
privilege, the conditions that are imposable and the discretions to be  used
by the courts.  On a reading of the  said  authoritative  pronouncement  and
the principles that have been culled out in Savitri  Agarwal  (supra)  there
is remotely no indication that the Court of Session or the  High  Court  can
pass an order that on surrendering of the accused before the  Magistrate  he
shall be released on bail on  such  terms  and  conditions  as  the  learned
Magistrate may deem fit and  proper  or  the  superior  court  would  impose
conditions for grant of bail on such surrender.   When  the  High  Court  in
categorical terms has expressed the view  that  it  not  inclined  to  grant
anticipatory bail to the accused petitioners it could not have  issued  such
a direction which would tantamount to conferment of  benefit  by  which  the
accused would be in a position to avoid arrest.  It is  in  clear  violation
of the  language  employed  in  the  statutory  provision  and  in  flagrant
violation of the dictum laid down in  the  case  of  Gurbaksh  Singh  Sibbia
(supra) and the principles  culled  out  in  the  case  of  Savitri  Agarwal
(supra).  It is clear as crystal the court  cannot  issue  a  blanket  order
restraining arrest and it can only issue an interim order  and  the  interim
order must also conform to the  requirement  of  the  section  and  suitable
conditions should be imposed.  In the case of Gurbaksh Singh Sibbia  (supra)
the Constitution Bench has clearly observed that  exercise  of  jurisdiction
under Section 438 of the Code is an extremely  important  judicial  function
of a judge and both individual  and  society  have  vital  interest  in  the
orders passed by the court in anticipatory bail applications.

31.   In this context it is profitable  to  refer  to  a  three-Judge  Bench
decision in Dr. Narendra K. Amin v. State of Gujarat  and  another[13].   In
the said case a learned Judge of the Gujarat High Court cancelled  the  bail
granted to the appellant therein in exercise of power under  Section  439(2)
of the Code.  It was contended before this Court that  the  High  Court  had
completely erred by not properly appreciating the  distinction  between  the
parameters for grant of bail and cancellation of bail.  The  Bench  referred
to the decision in Puran v. Rambilas and another[14]  wherein  it  has  been
noted that the concept of setting aside an unjustified, illegal or  perverse
order is totally different from the cancelling an  order  of  bail   on  the
ground that  the  accused  has  misconducted  himself  or  because  of  some
supervening  circumstances warranting such  cancellation.   The  three-Judge
Bench further observed that when irrelevant materials have been  taken  into
consideration the  same  makes  the  order  granting  bail  vulnerable.   In
essence, the three-Judge Bench has opined that if  the  order  is  perverse,
the same can be set at naught by the superior court.  In the  case  at  hand
the direction to admit the accused persons to  bail  on  their  surrendering
has no sanction in law and, in fact, creates a dent in the sacrosanctity  of
law.  It is contradictory in terms and law does not  countenance  paradoxes.
It gains respectability and acceptability when its solemnity is  maintained.
 Passing such kind of orders the interest of the  collective  at  large  and
that of the individual victims is jeopardised.  That apart, it curtails  the
power of the regular court dealing with the bail applications.

32.   In this regard it is to be borne in mind that a court of  law  has  to
act within the statutory command and not deviate from  it.   It  is  a  well
settled proposition of law what cannot be  done  directly,  cannot  be  done
indirectly.  While exercising a statutory power a  court  is  bound  to  act
within the four corners thereof.  The statutory exercise of power stands  on
a different footing than exercise of power of  judicial  review.   This  has
been so stated in Bay Berry Apartments (P)  Ltd.  and  Anr.  v.  Shobha  and
Ors.[15] and U.P. State Brassware Corporation Ltd. and Anr. v.  Uday  Narain
Pandey[16].

33.   Judging on the foundation of aforesaid well  settled  principles,  the
irresistible conclusion is that the impugned  orders  directing  enlargement
of bail of the  accused  persons,  namely,  Uttam  Das,  Abhimanyu  Das  and
Murlidhar  Patra  by  the  Magistrate  on  their  surrendering  are   wholly
unsustainable and bound to founder and accordingly the said  directions  are
set aside.  Consequently the bail bonds of the  aforenamed  accused  persons
are cancelled and they shall be taken into custody forthwith.  It  needs  no
special emphasis to state that they are entitled to  move  applications  for
grant of bail under Section 439 of the Code which  shall  be  considered  on
their own merits.

34.   The appeals are accordingly disposed of.





                                                             ……………………………….J.
                                                       [K. S. Radhakrishnan]




                                                             ……………………………….J.
                                                               [Dipak Misra]

New Delhi;
May 04, 2012.



-----------------------
[1]    AIR 1980 SC 1632
[2]    AIR 1976 SC 366
[3]    (2009)8SCC325
[4]    AIR 1996 SC 1042
[5]    (1998) 9 SCC 348
[6]    ( 2004) 7 SCC 558
[7]    (2005) 4 SCC 303
[8]    (1980) 2 SCC 559
[9]     AIR 2009 SC 254
[10]   (2005) 7 SCC 56
[11]   (2005) 1 SCC 608
[12]    (2011) 1 SCC 694
[13]   2008 (6) SCALE 415
[14]   (2001) 6 SCC 338
[15]   (2006) 13 SCC 737
[16]   (2006) 1 SCC 479