Bail is the Rule and Jail the Exception, Emphasizes the Need for Fair Trial and Liberty – High Court Grants Bail in Economic Offenses Case

In a significant ruling, the High Court of Punjab and Haryana at Chandigarh granted regular bail to Mahesh Kumar @ Mahesh Bansal, in connection with multiple charges under the Indian Penal Code and the Central Goods and Services Tax Act, 2017. Justice Pankaj Jain emphasized the judiciary’s fundamental stance that “bail is the rule and jail the exception,” underlining the importance of liberty and a fair trial amidst the severity of the offenses charged.

The petitioner, Mahesh Kumar, sought regular bail similar to that previously granted to co-accused Padam Bansal, who faced analogous allegations. The offenses included breach of trust, cheating, forgery, and evasion of GST. The counsel for the petitioner argued the applicability of prior judicial precedents favoring bail post-investigation unless specific conditions contraindicate it.

The FIR No. 355, dated October 28, 2020, registered at the Police Station Civil Line Sirsa, District Sirsa, brought charges under multiple sections of the IPC and the CGST Act against the petitioner. It was argued that similar to cases involving other co-accused who had been granted bail, the ongoing judicial custody of Mahesh Kumar, without commencement of the trial, violated principles of liberty and a fair trial, especially post-completion of the investigation.

The Court extensively discussed the principles laid out in previous apex court judgments concerning bail in economic offenses. It was noted that while economic offenses are grave, the presumption of innocence remains a cornerstone of criminal jurisprudence. The court cited the tripod test from the apex court’s decisions, which considers: whether the accused is a flight risk, the likelihood of tampering with evidence, and the potential influence over witnesses.

Justice Jain pointed out that the investigation had concluded and chargesheets were filed, which typically tilts judicial discretion towards granting bail unless compelling reasons exist otherwise. The court was careful to state that the bail was granted without prejudice to the merits of the case, maintaining judicial impartiality.

The court ordered the release of Mahesh Kumar on bail, subject to him furnishing bail/surety bonds to the satisfaction of the trial court. Additional conditions included the surrender of his passport and a mandate that he should not alter any documents or contact details pertinent to the ongoing investigation.

Date of Decision: May 2, 2024

Mahesh Kumar @ Mahesh Bansal vs State of Haryana