YUGAL NAG vs STATE OF CHHATTISGARH

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CGHC010332072026 2026:CGHC:38369
NAFR
HIGH COURT OF CHHATTISGARH AT BILASPUR
MCRC No. 8010 of 2026
Yugal Nag S/o Late Kuber Nag Aged About 29 Years R/o Kodabhaat
Kanker, Ps Kanker District- North Bastar, Kanker (C.G.)
... Applicant(s)
versus
State Of Chhattisgarh Through S H O P S Kanker (C.G.)
--- Non-Applicant(s)
For Applicant(s) : Mr. Ankur Diwan, Advocate.
For Non-Applicant(s) : Mr. S.S. Baghel, Govt. Advocate.
Hon'ble Mr. Ramesh Sinha, Chief Justice
Digitally
signed by
ABHISHEK
SHRIVAS
Date:
2026.09.01
11:12:22
+0530
Order on Board
ABHISHEK
SHRIVAS
31.08.2026
1. The applicant has filed this first bail application under Section 483 of
the Bharatiya Nagarik Suraksha Sanhita, 2023 for grant of regular
bail, who has been arrested in connection with Crime No. 159/2026,
registered at Police Station Kanker, District North Bastar Kanker
(C.G.), for the offences punishable under Sections 178, 179 and
180 of the Bharatiya Nyaya Sanhita, 2023.
2. As per the case of prosecution, on 13.05.2026, Sub-Inspector D.R.
Sahu, posted at Police Station Kanker, received secret information
to the effect that a person wearing a black-coloured pant and light
green full-sleeved T-shirt and carrying a blue-coloured backpack

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was present at New Bus Stand, Kanker and was carrying
counterfeit currency notes with an intention to circulate/use the
same as genuine Indian currency. Upon receipt of the said
information, the police prepared the requisite proceedings and
called independent witnesses namely Shravan Kumar and
Omprakash Dewangan and apprised them of the secret information.
Thereafter, the police party proceeded to the spot and found a
person matching the description given by the informer. Upon being
questioned, the said person disclosed his name as Yugal Nag,
resident of Kodabhat, Kanker. After informing him about the secret
information, his search was conducted in accordance with law.
During the course of search, a blue-coloured bag allegedly in his
possession was found containing several bundles of ₹500/-
currency notes. The police allegedly recovered 11 bundles of ₹500/-
notes along with certain notes printed on A-4 paper. Upon
examination and comparison with genuine ₹500/- currency notes,
the recovered notes were allegedly found to be counterfeit and
lacking the requisite security features, including the security thread
and other distinguishing features of genuine currency. The
counterfeit currency notes were accordingly seized by the police.
On the basis of the seizure and the report lodged by the police,
Crime No. 159/2026 was registered against the applicant for the
offences punishable under Sections 178, 179 and 180 of the B.N.S.,
2023. The applicant was arrested on 13.05.2026 and, after
completion of investigation, the charge-sheet has been filed before
the competent Court.

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3. Learned counsel appearing for the applicant submits that the
applicant is innocent and has been falsely implicated in the present
case. It is submitted that the applicant has not committed any
offence as alleged against him and that there is no sufficient material
collected during investigation to establish his involvement in the
alleged offence. He further submits that the charge-sheet has
already been filed before the competent Court and the applicant is
in custody since 13.05.2026 and has no criminal antecedent.
Learned counsel further submits that mere recovery of alleged
counterfeit currency from the possession of the applicant, by itself,
would not be sufficient to establish the guilt of the applicant unless
the prosecution proves that the applicant had knowledge or reason
to believe that the said currency notes were counterfeit and had the
requisite intention to use or circulate the same as genuine and the
trial is likely to take considerable time for its conclusion. Hence, it is
prayed that the applicant may kindly be enlarged on bail.
4. On the other hand, learned State counsel opposes the prayer for
grant of bail and submits that currency notes amounting to
₹6,54,000/- were recovered and seized from the possession of the
present applicant, which were prima facie found to be counterfeit.
Therefore, looking to the nature and gravity of the offence and the
prima facie material available against the applicant, he is not
entitled to be released on bail.
5. I have heard learned counsel for the parties and have perused the
material available on record.
6. Considering the facts and circumstances of the case, nature and

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gravity of the allegations and the alleged recovery and seizure of
counterfeit currency notes amounting to ₹6,54,000/- from the
possession of the applicant and the prima facie material available
on record, coupled with the fact that the issue regarding the
applicant's knowledge that the said currency was counterfeit is a
matter of evidence, this Court is not inclined to grant bail to the
applicant at this stage.
7. Accordingly, the bail application of the applicant namely Yugal
Nag, involved in Crime No. 159/2026, registered at Police Station
Kanker, District North Bastar Kanker (C.G.), for the offences
punishable under Sections 178, 179 and 180 of the Bharatiya
Nyaya Sanhita, 2023, is rejected .
8. Needless to say that the trial Court concerned is at liberty to
proceed and conclude the trial expeditiously.
9. Office is directed to provide a certified copy of this order to the trial
Court concerned for necessary information and compliance.
- Sd/-
(Ramesh Sinha)
CHIEF JUSTICE
Abhishek