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Issues: Whether the conditions imposed while granting anticipatory bail, particularly the direction to deposit money and the modification of a monetary condition into a corporate guarantee, were sustainable.
Analysis: In exercising power under Section 438 of the Code of Criminal Procedure, 1973, the court must be satisfied that the accused is unlikely to abscond or misuse liberty, and may impose conditions only as a matter of judicial discretion to protect the investigation. A condition requiring recovery of the alleged amount cannot ordinarily form part of anticipatory bail in offences of cheating and criminal breach of trust. However, where the accused had given an undertaking and part payment had already been made, the monetary condition based on that undertaking was not interfered with. The severity and impracticability of the remaining condition justified its alteration to permit furnishing of a corporate guarantee, subject to the Magistrate's satisfaction as to solvency.
Conclusion: The condition requiring payment of the balance amount was maintained, while the challenged condition was modified to allow a corporate guarantee; the remaining bail conditions were left undisturbed.
Final Conclusion: The special leave applications were disposed of with partial modification of the anticipatory bail conditions, leaving the substantive grant of bail in place.
Ratio Decidendi: Conditions attached to anticipatory bail must be reasonable and tailored to securing the accused's availability and the integrity of investigation, and cannot be used to recover alleged amounts as if in execution of a civil liability.