In Brief
The Supreme Court set aside orders granting anticipatory bail to four company employees accused of fraudulent misappropriation of land compensation funds amounting to several crores. The High Court had wrongly doubted the validity of a Magistrate's order directing investigation under Section 156(3) CrPC, claiming the complainant was not examined on oath. The Court clarified that Section 156(3) allows investigation before cognizance without examination on oath; such examination is required only under Section 200 when taking cognizance for trial. The High Court also failed to consider the gravity of fraud allegations when granting bail, a serious error in discretion.
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