IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MRS. JUSTICE K.HEMA TUESDAY, THE 21ST OCTOBER 2008 / 29TH ASWINA 1930 Bail Appl..No. 6455 of 2008() ----------------------------- CRIME NO.615/08 OF VAIKOM POLICE STATION PETITIONER/ACCUSED -------------------------------------- K.BABU, S/O KARUNAKARAN, SIVASURYA, SOUTH GATE P.O., VAIKOM. BY ADV. SRI.DILIP MOHAN RESPONDENT(S): COMPLAINANT/STATE -------------------------------- 1. STATE OF KERALA, REP. BY PUBLIC PROSECUTOR, HIGH COURT OF KERALA, ERNAKULAM. 2. STATION HOUSE OFFICER, VAIKOM POLICE STATION. PUBLIC PROSECUTOR SRI.K.S.SIVAKUMAR THIS BAIL APPLICATION HAVING BEEN FINALLY HEARD ON 21/10/2008, THE COURT ON THE SAME DAY PASSED THE FOLLOWING: K.HEMA, J. ------------------------------------------------- B.A.No.6455 of 2008 ------------------------------------------------- Dated this the 21st day of October, 2008 O R D E R This petition is for anticipatory bail. 2. The alleged offence is under Section 420 IPC. According to prosecution, Rs.1.50 lakhs were received as deposits from the de facto complainant promising to pay high interest. But, neither the interest was paid nor the mount was returned and thereby, the de facto complainant was cheated by accused nos. 1 to 3. Petitioner is the second accused in the crime. 3. Learned counsel for the petitioner submitted that a financial institution was run in the name and style 'Soorya Investments' and it fell into debt after the death of first accused's father who was running the business. The family was running several business like 'Soorya Automobiles', Soorya Jewellery' etc. ever since 1983. The business was being carried out successfully till 2005, i.e., till the death of the father of the first accused. Later, there was some dispute between the partners and the BA No.6455/08 2 deposits could not be paid back. Several complaints were filed by several persons alleging offence under Section 420 IPC. The first accused, who is the Managing Partner of the firm, was remanded to custody and was in jail for three months in six crimes of similar nature. The second petitioner has nothing to do with the crime. He is not even a partner, it is submitted. 4. Learned counsel for the petitioner also submitted that an action council was constituted by the political parties to settle the issues. The first accused sold certain properties and raised Rs.1.5 crores for distribution to various creditors and the said money was entrusted with the action council in December 2007. But, the said amount was not distributed among the creditors and hence, complaints after complaints are being filed. The petitioner is facing threat of arrest and detention of such cases filed by various creditors. It is submitted that even persons to whom Rs.5000/- is to be given, the money is not distributed by the action council, though Rs.1.5 crores are available with them. 5. All steps possible to raise money were taken to see that the creditors are paid the amount due. But, the amount could not be paid only under peculiar circumstances and BA No.6455/08 3 accused have no intention to cheat any person and no offence under Section 420 IPC will be made out. Learned counsel for the petitioner also submitted that in the peculiar circumstances, this Court had directed the accused to take necessary steps for reference of the cases to Lok Adalath and steps were taken accordingly and some cases were referred to Lok Adalath also. Rs.50 lakhs were disbursed by the action council to various persons after the passing of this order, it is submitted. In such circumstances, petitioner may be granted anticipatory bail, it is submitted. On hearing both sides, I find that the petitioner can be granted anticipatory bail and hence, the following order is passed: Petitioner shall surrender before the Investigating Officer within seven days from today and in the event of his arrest, if any bail application is filed, he shall be released on bail on his executing bond for Rs.25,000/- with two solvent sureties each for like sum to the satisfaction of the arresting officer on the following conditions: BA No.6455/08 4 (i) Petitioner shall co-operate with the investigation. (ii) Petitioner shall report before the Investigating Officer as and when directed. The petition is allowed. K.HEMA, JUDGE csl