I am not excatly aware of what laws says about disciplinary actions during notice period.....
Waiting for someone's comment whether there is any clause for the same..!
If your management is strong and interested, you can also lodge police complaint and initiate police and legal action against he indivisual.
Depends upon what your managements point of view is.
Best way would be for recovering the company's money would be to give him a choice "pay the amount back and get the relieving letter or face termination and no relieving letter and hold F&F"
(better reieve him with immediate edffect)
If he doesnot fall under the definition of workman , simply terminate his services and issue service certificate , dues accordingly, if the misconduct is so serious.
To decide on such cases which have legal consequences the facts of the case must be specific or else the very many answers you receive would be misleading, confusing or worthless despite the sincere contributions of friends and well wishers. Moreover, these matters can only be commented upon depending on the conditions one has agreed to. It would also make a good case study if the fundamental agreement is known.
One general law is that not all agreements can be valid if they are one side (lop-sided). The other fact is only agreements that are not void in the eyes of law can be enforced. Though i am not a lawyer, what I know is that (one-sided) agreement as service-bond is not valid or enforceable. What is the meaning of bond here (bondage?). The terminology itself is not agreeable. It is otherwise known as service-agreement and is acceptable as some one here has mentioned that a company has a right to be compensated for the investment it has made in the development of the individual to serve for some mutually agreed time in the said company. Other -wise, in all cases no one party has overbearing right over the other and none of the parties can be forced to forgo their valid rights including that of separation.
May be some of our HR friends with Law degree can facilitate the discussions with reference to the latest judgments about these matters.