The Punjab and Haryana High Court has granted regular bail to a person facing allegations of criminal breach of trust, cheating and conspiracy in connection with a real estate project in Faridabad, noting that he had already spent approximately one year and five months in custody and that the trial was unlikely to conclude in the near future.
Justice Virinder Aggarwal observed that the alleged liability was approximately ₹75 crore and that hundreds of intending homebuyers were affected. However, the Court noted that the entire assets of the applicant had been attached by the Enforcement Directorate and that an Empowered Committee had already been constituted by the Delhi High Court to verify investors’ claims and work out a mechanism for resolution from the attached assets.
The Court further noted that the principal offence prima facie attracted Section 316(2) of the Bharatiya Nyaya Sanhita, 2023, corresponding to Section 406 IPC, which carries a maximum sentence of three years. The Court observed that the applicant had already undergone approximately half of the maximum prescribed sentence.
Referring to the Supreme Court’s decision in Sanjay Chander v. CBI, (2012) 1 SCC 40, the High Court reiterated that pre-trial detention should not become punitive in character. Considering the prolonged incarceration, the existing mechanism for securing the claims of complainants and the considerable time likely to be required for completion of trial, the Court held that continued incarceration would serve no useful purpose.
The Court accordingly allowed the bail petition, subject to conditions including restrictions on influencing witnesses, tampering with evidence, leaving India without permission, disclosure and verification of residential addresses and financial particulars, and mandatory appearance during trial.
