- (1.) Leave granted.
(2.) Challenge in this appeal is to the orders passed by the Punjab and Haryana High Court dealing with the appellants' application in terms of Section 438 of the Code of Criminal Procedure, 1973 (in short the 'Cr.P.C.') in Criminal Case No. 27303-M of 2006. The First Information Report (in short 'FIR') was lodged against the appellants and others for their alleged involvement in mis-appropriation of stock. According to the appellants, the dispute essentially revolves around contractual liability and is of a civil nature. In an arbitration proceeding the matter is under examination. The High Court by order dated 8th May, 2006 granted interim protection in terms of Section 438 Cr.P.C. on the condition that a sum of Rs.10,00,000/- shall be deposited with Markfed i.e. the complainant in the case. Subsequently because of non-deposit of the amount as directed, notwithstanding the issuance of notice by this Court the protection was denied and prayer in terms of Section 438 Cr.P.C. was rejected.
(3.) Learned counsel for the appellants submitted that in view of the decision of this Court in Bal Kishan Das v. P.C. Nayar [1991 Suppl. (2) SCC 412] the proceedings are not maintainable and the condition of depositing a huge sum of Rs.10,00,000/- as directed by the High Court cannot stand scrutiny in law.;