You cannot terminate his service without knowing what sort of offence he has committed. The following section of the EA is the answer for your question.
23. Wages not due for absence from work through imprisonment or attendance in court.
Wages shall not become payable to or recoverable by any employee from his employer for or on account of the term of any sentence of imprisonment undergone by him or for any period spent by him in custody or for or on account of any period spent by him in going to or returning from prison or other place of custody or for or on account of any period spent by him in going to, attending before or returning from a court otherwise than as a witness on his employer's behalf.