*1* IN THE HIGH COURT OF JUDICATURE AT BOMBAY CRIMINAL APPELLATE JURISDICTION CRIMINAL APPLICATION NO.3963/2009 Govind Bansilal Biyani and others. ..Applicants -VERSUS- The State of Maharashtra. ..Respondent ............... Mr.A.P.Mundargi, Senior Advocate i/b Mr.Shashank Borade, for the Applicant. Mr.H.J.Dedhia, A.P.P., for the Respondent/State. ............... CORAM: A.P.DESHPANDE, J. Dated 25th September, 2009. PC:- 1 This is an application moved for regular bail under Section 439 of the Code of Criminal Procedure in Crime No. 125/2009 registered with Shivaji Nagar Police Station, Ichalkaranji (now being investigated by the Local Crime Branch, Kolhapur) for the offences punishable under Sections 406, 420 r/w 34 of the Indian Penal Code. 2 According to the prosecution, the present Applicants are the owners of one M/s Bansi Pulp and Papers Mill Pvt.Ltd. and they carry on the business of manufacturing of craft papers. The Applicants allegedly misrepresented the depositors/complainants that if the depositors invest money in the said business they would receive attractive returns. Relying on the said representation, *2* various persons deposited the amount totaling to about Rs.50 Lac. The present Applicants had also assured and promised the payment of some commission at the rate of Rs.500/- per tonn of sale of papers, however, the payment as promised has not been made. The present Applicants from time to time assured the repayment of the amount together with commission etc. to the depositors, however, having failed to repay the amount, the First Information Report has been lodged and the offence is registered. 3 The learned senior counsel Mr.Mundargi appearing for the Applicants submits that the present Applicants have never denied the fact that they have received the money from the depositors. The Applicants have also acknowledged the receipt of amount and they have also given in writing about acknowledging the liability and debt. However, because of the financial crisis and as the business did not click, the Applicants were unable to repay the amount. The Applicants have acknowledged the debt and have also issued the cheques, however, the cheques could not be realized on account of non availability of funds with the Company or the present Applicants. In this fact situation, the submission is that there is hardly any element of cheating the depositors during the course of business. The depositors have invested the money with a view to earn attractive returns and the Applicants having failed in the scheme commercially, the problem has arisen. In his submission, predominantly this is a civil dispute. It is submitted that the Applicants are in custody since 15.08.2009 and no purpose whatsoever would be served by further continuing the detention of the Applicants in custody. In his submission, if the Applicants are *3* released on bail, there is every possibility that the Applicants would be in position to earn money and return the amount. 4 The learned APP has submitted that huge amounts of depositors have not been paid and assured returns and money have also not been refunded. It is also submitted that on account of non realization of the cheques issued by the Applicants, notices are issued by the depositors under Section 138 of the Negotiable Instruments Act. Lastly, he submitted that in the event if the Applicants are to be released on bail they should be restrained by imposing the condition, from disposing of the property of the Company or their individual property. 5 The learned senior counsel for the Applicants, on instructions from one Manoj Govardhandas Biyani, makes a statement that no property of the Company or individual property of the present Applicants shall be sold, mortgaged, encumbered or charged without prior permission of the Court and an undertaking to this effect would be submitted by the Applicants before the Investigating Officer within a period of one week from their release on bail. 6 Prima facie, I am of the view that further detention of the Applicants in custody would not be in furtherance of the cause of justice and thereby no useful purpose would be served. In the result, I pass the following order:- (a) The Applicants shall be released on bail on executing a personal bond in a sum of Rs.50,000/- by each of the Applicants with one or two sureties in the like amount. (b) The Applicants shall attend the Local Crime Branch *4* Office, Kolhapur once a week i.e. on every Saturday in between 5:00 to 7:00 pm till filing of the charge sheet and thereafter, once a month till conclusion of the trial. (c) The Applicants shall individually file an undertaking with the Investigating Officer within a period of one week from their release from the custody that they/he shall not sale, mortgage, encumber or charge any property of the M/s Bansi Pulp and Papers Mill Pvt.Ltd. And their private property hereafter without prior permission of the Court. (d) Cash deposit of the bail amount is permitted for a period of three weeks, during which period the Applicants shall arrange for sureties. (e) The Application is allowed and disposed of accordingly. (A.P. Deshpande, J)