Case: C.B.I Vs. V.Vijay Sai Reddy

to approach the High Court of Andhra Pradesh through their legal advisors. Admittedly, he had not brought any information as required under the notice dated 13.06.2012 on the advise of the respondent herein (A-2). As rightly pointed out, there is no need to go to High Court to get specific direction for each and every thing. When the Investigating Officer is in need of certain documents/information for verification with reference to the investigation it is but proper to place all the materials under Section 91 of the Code. Likewise, further statement of one Shri Sanjay S. Mitra dated 07.12.2012 was pressed into service. When the attention was drawn to the said person pointing out that his replies are intended to protect directly the people involved in the above transactions including his Managing Director Puneet Dalmia and Vijay Sai Reddy (A-2), his answer was that he is an employee working with Dalmia for salary and he has indications from his management and indirectly from Vijay Sai Reddy (A-2) about not revealing the above transactions and he also informed the things having reservation about his future. These are a few samples pointed out by the counsel for the CBI. 25) Another relevant aspect as pointed out by learned senior counsel for the CBI that bail can be cancelled when lower court granted bail on irrelevant considerations. The High Court accepted the said proposition and observed that “though there appears to be some force in the contention of Shri Kesava Rao, learned standing counsel for the CBI that the Special Judge has taken into consideration certain factors which appear to be not relevant such as not arresting A-1 and certain other observations of learned Special Judge, such as investigation has been completed appear to be incorrect.” Unfortunately, after arriving such conclusion, particularly, criticizing the Special Judge, the High Court on an erroneous ground concluded that “it cannot be said that they are totally irrelevant circumstances, therefore, on that ground, I feel that the bail granted to the respondent cannot be cancelled”. 26) Finally, though it is claimed that respondent herein (A-2) being only a C.A. had rendered his professional advise, in the light of the various serious allegations against him, his nexus with the main accused A-1, contacts with many investors all over India prima facie it cannot be claimed that he acted only as a C.A. and nothing more. It is the assertion of the CBI that the respondent herein (A-2) is the brain behind the alleged economic offence of huge magnitude. The said assertion, in the light of the materials relied on before the Special Court and the High Court and placed in the course of argument before this Court, cannot be ignored lightly. 27) It is true that the Special Judge while granting bail imposed certain conditions and the High Court has also added some more additional conditions, however, taking note of few instances in which how the respondent has acted, it cannot be possible for the investigating agency to collect the remaining materials for the remaining three charge sheets to be filed. In such circumstances, we are satisfied firstly the Special Court took irrelevant materials for consideration for grant of bail and secondly, the High Court having arrived definite conclusion that several findings of Special court are unacceptable or irrelevant but ultimately affirmed the very same order of the special Judge granting bail. 28) While granting bail, the court has to keep in mind the nature of accusations, the nature of evidence in support thereof, the severity of the punishment which conviction will entail, the character of the accused, circumstances which are peculiar to the accused, reasonable possibility of securing the presence of the accused at the trial, reasonable apprehension of the witnesses being tampered with, the larger interests of the public/State and other similar considerations. It has also to be kept in mind that for the purpose of granting bail, the Legislature has used the words "reasonable grounds for believing" instead of "the evidence" which means the Court dealing with the grant of bail can only satisfy it as to whether there is a genuine case against the accused and that the prosecution will be able to produce prima facie evidence in support of the charge. It is not expected, at this stage, to have the evidence establishing the guilt of the accused beyond reasonable doubt. 29) We have highlighted the above aspects to show that the High Court has mistakenly taken into account the irrelevant materials and kept out the relevant materials, which had to be considered for the grant of bail. 30) Taking note of the fact that cancellation of bail necessarily involves the review of a decision already made, it should always be exercised very sparingly by the court of law. 31) In the light of the above discussion, we are of the view that the special Judge committed an error in granting bail and the same was erroneously affirmed by the High Court.32) Taking note of all the aspects discussed above, without expressing any opinion on the merits, we set aside both the orders of the Special Judge and the High Court granting bail to A-2 and allow the appeal filed by the CBI with a direction to complete all the investigation relating to the remaining three charge sheets and file appropriate report before the trial Court within a period of four months from today. Thereafter, the respondent herein is free to renew his prayer for bail before the trial Court and if any such petition is filed, the trial Court is free to consider the prayer for bail independently on its own merits without being influenced by the present appeal. During the course of hearing, it is brought to our notice that the marriage of the daughter of the respondent has been fixed for 26.05.2013. Taking note of the said aspect, we direct the respondent herein to surrender on or before 5-6-2013 before the Special Court for being sent to the custody. 33)

Decision (1 = appeal accepted, 0 = rejected): 1

Explanation:
1[ds]It is true that the Special Judge while granting bail imposed certain conditions and the High Court has also added some more additional conditions, however, taking note of few instances in which how the respondent has acted, it cannot be possible for the investigating agency to collect the remaining materials for the remaining three charge sheets to be filed. In such circumstances, we are satisfied firstly the Special Court took irrelevant materials for consideration for grant of bail and secondly, the High Court having arrived definite conclusion that several findings of Special court are unacceptable or irrelevant but ultimately affirmed the very same order of the special Judge grantingthe light of the above discussion, we are of the view that the special Judge committed an error in granting bail and the same was erroneously affirmed by the High Court.32) Taking note of all the aspects discussed above, without expressing any opinion on the merits, we set aside both the orders of the Special Judge and the High Court granting bail to A-2 and allow the appeal filed by the CBI with a direction to complete all the investigation relating to the remaining three charge sheets and file appropriate report before the trial Court within a period of four months from today. Thereafter, the respondent herein is free to renew his prayer for bail before the trial Court and if any such petition is filed, the trial Court is free to consider the prayer for bail independently on its own merits without being influenced by the present appeal. During the course of hearing, it is brought to our notice that the marriage of the daughter of the respondent has been fixed for 26.05.2013. Taking note of the said aspect, we direct the respondent herein to surrender on or before 5-6-2013 before the Special Court for being sent to the custody.