Section 132 of the CGST Act, 2017 – Anticipatory Bail –-- The applicant sought anticipatory bail. It is alleged that the applicant has passed illegal tax credit from such companies which are only existed on papers and not physically. The counsel for the applicant submitted that the applicant was granted registration after verification of all the documents. Further, if the alleged illegal tax credit availed of is below Rs. 5 Crores, then the offence is bailable. In the absence of assessment of the liability as regards the illegal tax credit availed by the applicant, the applicant cannot be taken into custody for custodial interrogation. The counsel for the revenue submitted that custodial interrogation of the applicant is very much justified and required in this case. The court observed that the total amount of availment of ineligible ITC is more than Rs. 6 Crores. Investigations is under process. If anticipatory bail is granted, the applicant is likely to destroy the evidence regarding the matter.

Held that:- The Hon’ble Court rejected the bail application.