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Generate professional replies to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
Step 1 – Issue Identification & Review
The AI analyses your query, notice, order, or uploaded documents and identifies the key issues involved.
• Review the issues identified by the AI
• Add, edit, remove, or refine issues as required
Step 2 – Draft Generation
Once you approve the issues, the AI performs issue-wise legal research and prepares a structured draft response.
• Relevant statutory provisions
• Judicial precedents and Supreme Court, High Court and other citations
• Issue-wise legal analysis
• Practical arguments and supporting content
• Professionally structured draft ready for further review. 
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Issues: (i) Whether an accused, after being unable to comply with conditions attached to an earlier bail order, can independently invoke Section 167(2) of the Code of Criminal Procedure, 1973 and seek statutory bail on expiry of the prescribed period without filing of the final report. (ii) Whether cash security or other onerous conditions can be imposed while granting statutory bail in a manner that frustrates the accused's right to release under Section 167(2) of the Code of Criminal Procedure, 1973.
Issue (i): Whether an accused, after being unable to comply with conditions attached to an earlier bail order, can independently invoke Section 167(2) of the Code of Criminal Procedure, 1973 and seek statutory bail on expiry of the prescribed period without filing of the final report.
Analysis: The statutory right under Section 167(2) arises on expiry of the prescribed detention period if the investigation is not completed and the accused is prepared to furnish bail. An earlier bail order granted on different terms does not prevent the accused from invoking the default-bail remedy once the statutory right accrues. The earlier order is treated as having worked itself out, and the right under Section 167(2) is independent of the earlier conditional bail order.
Conclusion: The accused can independently invoke Section 167(2) and seek statutory bail.
Issue (ii): Whether cash security or other onerous conditions can be imposed while granting statutory bail in a manner that frustrates the accused's right to release under Section 167(2) of the Code of Criminal Procedure, 1973.
Analysis: The right to default bail cannot be defeated by imposing conditions that the accused cannot realistically comply with. Conditions may be imposed to secure appearance and ensure fairness, but they must be reasonable and cannot indirectly deny the statutory benefit. A condition requiring substantial cash deposit, which prevents the accused from coming out on bail, would be inconsistent with the protective purpose of Section 167(2).
Conclusion: Onerous cash-security conditions cannot be imposed so as to extinguish or frustrate the statutory right to bail.
Final Conclusion: The petitioner's statutory-bail claim was upheld, and bail was directed to be granted on reasonable conditions that would not negate the default-bail right.
Ratio Decidendi: Once the statutory period under Section 167(2) expires without a final report, the accused acquires an indefeasible right to default bail if prepared to furnish bail, and that right cannot be nullified by conditions that effectively prevent release.