Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Bail |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Act(s) Referred | Prevention of Corruption Act, 1988 (49 of 1988) Arbitration and Conciliation Act, 1996 (26 of 1996) Indian Penal Code (45 of 1860) |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Bail – A Company ‘ANL’ was issued a Letter of Intent for Construction and development of Vessels Traffic and Port Management System (VTPMS) in the Gulf of Khambhat, on Build Own Operate and Transfer basis – It was followed by a Concession Agreement, entered into between the Gujarat Maritime Board, ANL and the Government of Gujarat – Dispute arose regarding the Capital Cost incurred by ANL – On basis of a preliminary inspection report, the Gujarat Maritime Board claimed that ANL made an extra income of Rs. 134.38 crores – ANL moved the Commercial Court u/s.9 of the Arbitration and Conciliation Act, 1996 as there was threat of termination of the Concession Agreement and thereafter matter was referred to Arbitration – The Gujarat Maritime Board lodged a complaint and on basis of the said complaint FIR was registered against 8 accused, including A-1, A-2 and A-3 u/ss. 406, 409, 420, 465, 468, 471 and 120 B IPC and s. 13(1)(d) of the Prevention of Corruption Act – A-1(Appellant) and A-2 his son were arrested – Ever since then, the appellant is in judicial custody – His bail application was rejected several times – However, the High Court gave liberty to the appellant to file a fresh application before the trial Court if the trial could not commence within a period of six months – Incidentally, this period of six months has expired and trial has not commenced yet – Also, the Arbitral Tribunal passed interim measures and financial interests of the Maritime Board were protected – In the background of the above facts, the appellant sought bail – Per contra, the respondent-State contended that the matter involved national security, which stands threatened by the activities of the appellant – Held: The potential threat to national security, cannot be sustained, for two reasons – The first reason is that the project became operational in August 2010 and the disputes started between the parties in 2018 that too with regard to financial matters – The second reason, by virtue of interim measures of protection granted by the Arbitral Tribunal u/s. 17, the termination of Concession Agreement stands stayed – Therefore, the Company of which the appellant is the head, continues to operate the VTPMS Project – The Arbitral Tribunal has also permitted the State Police to be there at the Project and allowed Maritime Board to depute a competent person, familiar with the project in question, to supervise and monitor the functioning of the Project – Also, the period of six months within which the High Court hoped the trial to commence, has expired as on date – Therefore, appellant is entitled to bail and is directed to be released on bail. |
Judge | Hon'ble Mr. Justice V. Ramasubramanian |
Neutral Citation | 2020 INSC 441 |
Petitioner | Jinofer Kawasji Bhujwala |
Respondent | The State Of Gujarat |
SCR | [2020] 5 S.C.R. 383 |
Judgement Date | 2020-06-19 |
Case Number | 460 |
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