1 abs FARAD CONTINUATION IN THE HIGH COURT OF JUDICATURE AT BOMBAY CRIMINAL APPELLATE JURISDICTION CRIMINAL APPLICATION NO. 4507 OF 2009 Ramesh Bansilal Biyani .. Applicant V/s The State of Maharashtra .. Respondent ­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­ Office Notes, Office Memoranda of Court's or Judge's Orders Coram, appearances, Court's Orders or directions and Registrar's Orders Mr. A.P. Mundargi, Senior Advocate with Mr. S.P. Boradia for the applicant. Mr. Anoshak Daver with Mr. Nikhil Rajani i/b V. Deshpande & Co. for the intervener. Mr. A.S. Gadkari, A.P.P. for the State. CORAM : D.G. KARNIK, J. DATE : 25TH FEBRUARY 2010 P.C. : 1. By this application, the applicant seeks pre­arrest bail in connection with C.R. No. 125 of 2009 registered at Shivaji Nagar Police Station, Ichalkaranji, for an alleged offence punishable under sections 420, 406 read with 2 34 of the I.P.C. 3. The applicant is a Managing Director of Bansi Paper and Pulp Mills (for short “the Company”). On 14th August 2009, a first information report was lodged by Shri Uttam Ramdas Mhetre alleging that the applicant had induced him and 24 other persons to invest Rs. 50 lakhs in the Company and and promised that on such investment, the Company would pay to the investors a commission at the rate of Rs.500 per M.T. of the paper produced and sold by the Company. The investors made the investment. Cheques of commission given by the Company however bounced. I am informed at the Bar that notices under section 138 of the Negotiable Instruments Act have already been issued in respect of the bounced cheques. The complaint further alleged that he and other investors were induced to make investment of Rs.50 lakhs by cheating and they have been duped of their money. 3 4. Prima facie, it appears to be a case of failed business. Material on record does not show that there was an intention to cheat since beginning. The money received from the investors was utilised for the purpose of business of the Company and for the purpose of payment to the creditors and suppliers of the Company. 5. Three other directors of the Company were arrested and were in custody for 7 days. They have all been released on bail by an order of this Court (Criminal Application No.3963 of 2009 decided on 25th September 2009, Coram: A.P. Deshpande, J.). 6. In the facts and circumstances of this case, in my view, the applicant can be granted pre­arrest bail conditional upon his cooperating with the investigation. Hence, I pass the following order:­ 4 ORDER In the event the applicant is arrested in connection with C.R. No. 125 of 2009 registered at Shivaji Nagar Police Station, Ichalkaranji, he shall be released on bail on executing a P.R. bond with one or two sureties for the aggregate amount of Rs.50,000/­ subject to the following conditions: (i) The applicant shall cooperate with the investigation and shall not tamper with the prosecution evidence. (ii) The applicant shall attend the concerned police station initially on 2nd and 3rd March 2010 between 11.00 a.m. and 5.00 p.m. and thereafter as and when called by the investigating officer. (iii) The applicant shall inform in writing, within 48 hours of his release, to the concerned 5 police station his present residential address, residential telephone number and mobile number, and shall intimate any change therein within 48 hours of the change. (iv) The applicant shall not dispose of any of his personal properties or properties of the Company. The undertaking filed by the co­ director Mr. Pawan Ramesh Biyani is taken on record. (v) This order shall not prevent the Shamrao Vithal Co­operative Bank Ltd. from enforcing the mortgage and taking possession of the mortgaged property of the Company. (vi) Any breach of the conditions would result in cancellation of bail. (D.G. KARNIK, J.)