Supreme Court Strikes Down Possession Handover Condition in Bail Order, Encourages Mediation.


The Supreme Court allowed an appeal challenging a condition imposed by the Madras High Court while granting bail to the appellants under Section 439 of the Code of Criminal Procedure, 1973. The High Court had directed the appellants to hand over possession of specific portions of a property to the de facto complainant within two weeks as a condition for bail.

The Supreme Court unequivocally stated that the High Court erred in imposing such a condition. It reiterated the settled legal position established in several prior decisions, clarifying that a court hearing a bail application under Section 439 Cr. PC is not authorized to pass orders for the restoration of possession of property.


 

 

Consequently, the Supreme Court set aside the offending condition (numbered 9 [b]) imposed by the High Court. The interim protection previously granted to the appellants was made absolute.

While allowing the appeal, the Supreme Court encouraged the private parties to explore the possibility of a mediated settlement and recorded their agreement to do so. The parties were directed to appear before the Mediation Centre attached to the Madras High Court on April 30, 2025.

The Supreme Court clarified that in the event no settlement is reached through mediation, the de facto complainant would be at liberty to pursue civil litigation to seek recovery of possession of the property. Pending applications, if any, were disposed of.


Section 439., Code of Criminal Procedure - 1973  

Code of Criminal Procedure, 1973