2026 (3) TMI 1684 - SCH - GST

Bail conditions must be proportionate: an additional bank guarantee was struck down as excessively onerous.

A bail condition requiring furnishing of a bank guarantee was held excessively onerous where the accused had already provided a substantial personal bond ... Validity of imposition of a bank guarantee as an additional condition of bail, despite the appellant having already furnished a personal bond with sureties - Onerous bail conditions. Onerous bail conditions - Bank guarantee as condition of bail - HELD THAT: - The Court held that, in view of the law laid down in Saravanan vs. State represented by the Inspector of Police [2020 (10) TMI 1249 - SUPREME COURT] the requirement of furnishing a bank guarantee as a condition for bail could not be sustained where the appellant had already furnished the personal bond and sureties directed at the time of grant of bail. The determinative consideration was that the additional requirement of bank guarantee operated as an onerous condition beyond the bail security already furnished. [Paras 8, 9] The condition requiring furnishing of bank guarantee for bail was set aside. Final Conclusion: The appeal was allowed and the condition requiring the appellant to furnish a bank guarantee as part of the bail terms was set aside. The Court held that such additional requirement could not be legally sustained in the circumstances. Issues: Whether the condition requiring furnishing of a bank guarantee of Rs. 50 lakhs as a condition of bail was legally sustainable.Analysis: The appellant had already furnished a personal bond of Rs. 1 crore with two sureties of like amount, and the impugned bank guarantee condition was examined in light of the governing principles on bail conditions. Considering the nature of the case, the existing bond and surety arrangement, and the legal position relied upon, the additional bank guarantee was found to be excessively onerous and unsustainable.Conclusion: The condition requiring furnishing of a bank guarantee of Rs. 50 lakhs as a condition of bail was set aside.