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Issues: Whether anticipatory bail could be denied merely because the challan had been presented and whether the High Court had failed to exercise discretion in accordance with law under Section 438 of the Code of Criminal Procedure, 1973.
Analysis: The statutory power to grant anticipatory bail is intended to protect personal liberty and must be exercised on an independent appraisal of the facts and circumstances. Presentation of the challan does not by itself extinguish the availability of relief under Section 438 of the Code of Criminal Procedure, 1973. The High Court was required to apply its own mind to the merits of the application and could not refuse relief on a technical ground alone. The nature of the dispute, as pleaded, also required consideration at the stage of bail and not by a blanket denial of relief.
Conclusion: The denial of anticipatory bail solely on the ground that the challan had been filed was unjustified. Anticipatory bail was granted to the appellant.
Ratio Decidendi: Anticipatory bail under Section 438 of the Code of Criminal Procedure, 1973 cannot be refused merely because the challan has been presented, and the court must independently assess the application to protect personal liberty.