Is My 3-Year Service Bond Legally Binding? Seeking Advice on Avoiding Penalties

I am an Electrical Engg employed with an MNC. In my offer it was mentioned to execute a service bond for 3 years with assured surety of 2 persons on my joining. I accepted the offer and have joined the company. The appointment letter mentions that I may be sent abroad for company business / training and may be required to furnish a specific service agreement / deputation agreement.

After my joining, the HR gave me a document titled – “DEED of Guarantee” (on 100Rs. Non Judicial Stamp Paper) to be signed by two sureties and myself, which I have signed and submitted. It mentions that I should serve the company at least for 3 yrs, otherwise the two sureties or I have to pay 2 lacs. It, the deed, also gives reference to an agreement between the company and me, which I have never signed. Now after 7 months of serving I do not want to continue due to some reasons. The company has not spent anything on me for training internal or external neither they have sent me abroad for any business purpose.

My query is

i) On the 1st place is this deed valid legally. Can the company catch hold of me or my sureties who have signed the Deed? What are the legal implications?

ii) Could some one guide me in how to get out of this without paying any such amount?

An employment bond is not considered legal; it is merely a retention tool. Unless an employer has spent or invested an amount equivalent to the bond on an employee, the bond does not hold up under the law. Therefore, if your employer demands the bond amount when you decide to leave, you can use the aforementioned argument and insist on relief without paying the bond amount. If your employer does not agree, you can send a lawyer's notice requesting waiver of the bond and also citing mental harassment, which should be effective.

Regards,
Chennai Ibrahim