Gujarat High Court

Absence of breach of conditions and passage of time preclude cancellation of bail granted on merits.

The Ahmedabad Peoples Coop. Bank Ltd. v. State of Gujarat & Anr. [R/Criminal Revision Application No. 1072 of 2019 with Nos. 1073 & 1074 of 2019]

Gujarat High CourtJUDGMENT: no citation2 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The applicant Bank filed revision applications seeking to quash the orders dated 03.08.2019 which granted anticipatory bail to respondent No. 2 (Shah Jayesh Dineshbhai) in connection with FIR C.R. No. 04/2009 involving allegations of cheating and siphoning off public money.

Source reference: p. 1-2, p. 2

The applicant contended that respondent No. 2 was granted bail based on a statement by co-accused (Accused No. 4) that the dues would be repaid—a commitment that was breached despite undertakings.

Source reference: p. 2

While the Hon'ble Supreme Court eventually cancelled the bail of Accused No. 4 for non-payment, the applicant sought similar relief against respondent No. 2.

Source reference: p. 3
02

Issues

1. Whether the anticipatory bail granted to respondent No. 2 ought to be cancelled due to the failure of a co-accused to fulfill a repayment undertaking.

Source reference: p. 3-4

2. Whether the applicant established a breach of bail conditions or legal infirmity in the original bail order to justify judicial interference after a lapse of 13 years.

Source reference: p. 4
03

Law Applied

The court primarily applied Section 397 and Section 401 of the CrPC (now Sections 438 and 442 of the BNSS) regarding revisionary jurisdiction.

Source reference: p. 1

It relied on the principles governing anticipatory bail established in *Siddharam Satlingappa Mhetre vs. State of Maharashtra and Ors.* (2011) 1 SCC 694, emphasizing the balance between personal liberty and the seriousness of the offence.

Source reference: p. 3

The court further applied the settled legal doctrine that the "grant of bail" and "cancellation of bail" stand on different footings, requiring distinct grounds such as breach of conditions or supervening circumstances for the latter.

Source reference: p. 4
04

Reasoning

The court observed that the anticipatory bail granted to respondent No. 2 by the Sessions Court was based on a merit-based evaluation of the nature of the offence and the necessity of the accused’s presence during trial.

Source reference: p. 3

Crucially, the court noted that respondent No. 2 had never personally given an undertaking to pay the bank's dues, nor was such a repayment condition imposed in his specific bail order dated 21.03.2013.

Source reference: p. 3

The court reasoned that the failure of Accused No. 4 to honor an undertaking cannot be vicariously attributed to respondent No. 2 to warrant cancellation.

Source reference: p. 2-3

Furthermore, the court highlighted that the applicant failed to prove any breach of the specific conditions imposed on respondent No. 2 over the 13-year period since the incident.

Source reference: p. 4
05

Holding

The High Court dismissed the revision applications, holding that no case was made out for the cancellation of anticipatory bail.

The court concluded that the Sessions Court’s order was sound, respondent No. 2 had not breached any conditions, and the long passage of 13 years further mitigated against interference.

Source reference: p. 4

The prayers to quash the orders of the City Sessions Judge were rejected.

Source reference: p. 4
Gujarat High Court

Original Court PDF

The Ahmedabad Peoples Coop. Bank Ltd. v. State of Gujarat & Anr. [R/Criminal Revision Application No. 1072 of 2019 with Nos. 1073 & 1074 of 2019]

Gujarat High Court · no citation

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