Section 132 of the CGST Act, 2017 — Bail Application — The petitioners submitted two petitions, accused under Section 438 of Cr.P.C to release them on anticipatory bail in the event of their arrest, for the offence punishable under Section 137 of Act. The Respondent submitted that they were indulging in continuous issuance of fake invoices without actual supply of goods with an intention to enable them fraudulently avail the input tax credit. The invoices are issued and circulated among the different companies till they reach back to the originating companies without actual movement of goods, thereby transferring the irregular input credit to the originating companies for payment of GST.

Held that:-The Hon’ble High Court allowed the writ and held that taking into consideration the gravity of the offence and punishment which is liable to be involved, the petitioners are ordered to be enlarged on anticipatory bail subject to certain conditions. — Avinash Aradhya, Sri Mallokaradhya I.P. Vs. The Commissioner of Central Tax Bangalore East Commissionerate [2019] 09 TAXLOK.COM 046 (Karnataka)