Mumbai, Maharashtra – March 13, 2024 – Irfan Abdullatif Pathan, a resident of Dharavi, Mumbai, has been granted bail by the Sessions Court for Greater Bombay in connection with a cheating case registered at the Dharavi Police Station.

Background of the Case:

Pathan was arrested and charged under sections 420 (cheating) and 34 (acts done by several persons in furtherance of common intention) of the Indian Penal Code (IPC)¹ in connection with C.R. No. 326/2023.

The prosecution alleged that Pathan induced the complainant, Shakil Sultan Habib Shaikh, to invest in a garment business during the COVID-19 period. Pathan allegedly promised to prevent any losses and claimed to have orders worth Rs. 40 lakh. Relying on these assurances, the complainant took loans and invested a total of Rs. 22 lakh. However, Pathan failed to deliver on his promises, did not share any profits, and eventually claimed to have suffered losses. The complainant alleged that he was cheated.

Arguments Presented:

Pathan, through his advocate Waqar Nasir Pathan, filed a bail application, arguing that the investigation was complete, and a chargesheet had been filed. He also pointed out that the dispute appeared to be primarily a partnership dispute with a civil nature.

The prosecution, represented by Additional Public Prosecutor (APP) J.N. Suryavanshi, strongly opposed the bail application, arguing that Pathan had given evasive answers during interrogation and had stated his inability to repay the money.

Court’s Decision and Rationale:

Additional Sessions Judge M.G. Deshpande granted bail to Pathan. The court noted that the investigation was complete, and a chargesheet had been filed. The court also highlighted the following points:

• Partnership Dispute: The court observed that the dispute appeared to be primarily a partnership dispute, as evidenced by a partnership deed dated November 29, 2021, which included an arbitration clause.
• Delayed Trial: The court expressed concern about the delay in framing charges and commencing the trial, noting that four months had passed since the filing of the chargesheet, and Pathan had been in custody since October 24, 2023.
• Civil Liability: The court emphasized that the investigating officer cannot act as a recovery officer and that the dispute appeared to have a civil liability aspect.
• Maximum Punishment: The court noted that the offense under section 420 of the IPC carries a maximum punishment of seven years imprisonment.
• Uncertain Detention: The court stated that keeping Pathan in custody for an uncertain period for an offense under section 420 IPC was not justified, citing the Supreme Court guidelines in Satender Kumar Antil v. Central Bureau of Investigation & Anr.

Bail Conditions Imposed:

The court granted bail to Irfan Abdullatif Pathan on the following conditions:

• Personal Bond and Surety: He must execute a personal bond of Rs. 15,000 with a surety of the same amount.
• No Threat to Witnesses: He must not threaten the complainant or prosecution witnesses.
• No Tampering with Evidence: He must not tamper with prosecution evidence.
• Court Attendance: He must attend every court hearing unless exempted.
• Address Proof: He must furnish his residential address with proof to the satisfaction of the trial court.
• Provisional Cash Security: He is permitted to furnish provisional cash security of Rs. 15,000 for two months, along with the personal bond.
• Bail Execution: The bail must be furnished before the trial court.
• Surety Extension: The trial court will consider any further extension of time to furnish surety.

Significance of the Decision:

This decision underscores the court’s emphasis on the completion of the investigation, the nature of the dispute, and the accused’s right to a speedy trial. The court’s decision to grant bail, despite the serious nature of the offense, reflects its assessment that further detention was unnecessary, given the progress of the case and the civil aspects of the dispute. The court also highlighted the importance of not keeping someone in custody for an extended period of time when the trial has not even begun.