Logically you'd think as it was his own actions that led to him failing his bail conditions and being remanded into custody, then we wouldn't be liable to pay his wages during that time. I guess Mendy could counter argue that he should never have been in that position anyway as he was innocent. Complicated.
Not really, he was arrested then charged, that's simple, he was then bailed with conditions, that's also simple, and at that stage City were right to suspend him (but presumably still being paid), as the charges were serious.
I don't know what those bail conditions were, but he breached them (more than once if I remember correctly), and eventually the judge decided to remand him to prison. So all of that bit is purely on him, and as GDM says above, you only have to do what you're told, and you keep your liberty (and your pay), he didn't so the consequence was that his liberty was removed, and at that point he becomes "unavailable" for work, regardless of whether he's suspended or not, and that can't possibly be City's problem, no matter the final outcome of the case.
Bonuses will be dependant on the contract he signed, personally I think if you can't contribute through your own actions, then you shouldn't be entitled to the bonus.