Special Judge P.D. Kode of the designated court Thursday decided to take up on Jan 18 the arguments on the quantum of sentence to Dutt and six other convicts of the 1993 Mumbai serial bombings, while extending their bail till that date.
The judge ordered all seven to surrender before him Jan 18.
While hearing arguments on duration of their sentence, the court will also dwell upon whether Dutt and the six others could be set free "on probation" for their good conduct under the Probation of Offenders Act after their sentencing.
Six others, whom the court, set up under the now-repealed Terrorist and Disruptive Activities (Prevention) Act (TADA), ordered to surrender included Russi Mullah, Zebunisa Qazi, Yusuf Nalwallah, Rubina Bhivandiwala, Keris Adjania, Imtiaz Ghawte and S.N. Thapa.
While fixing the date for next hearing, the court said it was giving time to both sides to submit their arguments on the quantum of sentence to the convicts and on the issue of providing relief to them under the Probation of Offenders Act.
Facing prosecution for his alleged role in the Mumbai blasts that killed 257 people on March 14, 1993, Dutt was convicted Nov 28 on charges of possessing illegal weapons, including a 9-mm pistol and an AK-56 rifle
He, however, was absolved of the charges under the more stringent anti-terror law TADA. For possessing illegal weapons, Dutt faces jail for five to 10 years.
Following his conviction, Dutt had been granted bail till Dec 18, when he approached the court for its extension till his sentencing.
The court Thursday acceded to his plea. A battery of lawyers, including V.R. Manohar, Santosh Mansingde, Karan Singh and Farana Shah, represented the actor.
Dutt has been on bail since October 1995 after over 16 months in jail following his initial arrest in the wake of the serial bombings in India's business capital.
As per the provisions of the Probation of Offenders Act, the jail term of a convict could be waived up to a minimum period of three years on account of his good conduct. But to avail this respite, the convict should have an unblemished record of staying out of prison on bail till his sentencing.
Judge Kode's decision Thursday to extend Dutt's bail may prove crucial as it may win him freedom on probation despite award of a jail term as the final sentence.
While pleading to be set free on probation after award of the jail term to him, Dutt has cited several grounds for the legal respite, including the time to make arrangements for the education of his daughter Trishala in the US.
In his petition to the court, he has also pleaded for time to make arrangements to manage his parental property - his late father Sunil Dutt, a veteran Bollywood actor and minister in the central government, died without making his will.
He also pleaded for time to complete his pending film projects, involving livelihoods of several people.
The prosecution, however, is opposed to the legal relief to the convict as probationers.
Special public prosecutor Ujjwal Nikam told the court: "We are objecting on the ground that the provision for the Probation of Offenders Act cannot be moved at this stage. There is no alternative to conviction."
Judge Kode is hearing arguments on the quantum of sentence to 92 others convicted in the 1993 bombings. The court will go in recess from Dec 23 till Jan 1.