Any foreigner who might have left his or her country of origin without due authorisation from the authorities concerned, both in the country of origin as well as the country of destination, solely to improve his or her economic prospects, is not a refugee. After all, there is no element of persecution or coercion compelling the individual to leave the country of origin. Illegal migrants from Bangladesh are examples of this category. Such persons have to be treated as illegal and unauthorised entrants into the country and dealt with under the appropriate laws applicable to foreigners like Foreigners Act, Indian Passport Act etc. besides the IPC, Cr.PC etc.
The established principle of rule of law in India is that no person, whether a citizen or an alien shall be deprived of his life, liberty or property without the authority of law. The Constitution of India expressly incorporates the common law precept and the Courts have gone further to raise it to the status of one of the basic features of the Constitution which cannot be amended. The person will have to be ultimately handed over to the local police who will exercise their powers under relevant provisions of the Criminal Procedure Code (Cr.PC).
It goes without saying that there will be circumstances and occasions when the authorities may have to be satisfied about the bona fides of the person concerned. It is part of the duty and responsibility of the authorities to rule out any criminal or anti-national taking the plea of a ‘refugee’ and entering the country for mala fide purposes.
Release of a refugee from detention is often fraught with legalities. Courts are sometimes reluctant to direct release of the refugee without ensuring about securing his/her presence in a specific place. The refugee on release from prison after serving his/her sentence may still not be having valid travel documents. In such circumstances, the refugee may face the risk of re-arrest while commuting from the prison to secure residential permit/refugee certificate etc., Hence the authorities are often requested to provide police escort to the refugee to enable him to reach the authorised place safely and to secure documents for valid stay in India. This measure would help speed up to regularise the stay in India, which is desirable from both the point of view of security as well as humanitarian considerations.
The above information is for the status of refugee entering inside the country. In your case, the law is favorable because you are an Indian citizen and can be vouched upon for her, so with your own identity and other influence as a relative to her, you can help rescue her from the jail by applying bail for her.