Bail granted on furnishing bail bond
Section 132 of the CGST Act— Bail Application--The applicant submitted an application under section 437 CrPC for grant of bail. The applicant submitted that he was earlier arrested by the respondent on 07.11.2019 on allegations of availment of ineligible ITC to the tune of Rs.24 Crore and was granted regular bail on 14.11.2019. The applicant responded to each and every summons issued by the department and the allegations of the department of the judicial remand application dated 14.09.2020 that the applicant was not joining investigation is absolutely misconceived. The applicant relied upon the judgement tiled as C. Pradeep Petitioner (s) Vs The Commissioner of GST and Central Excise, Selam & Anr., Special Leave to Appeal (Crl) No(s). 6834/2019 wherein vide order dated 06.08.2019, and the Hon'ble High Court decision vide its order dated 14.08.2020 and 15.08.2020 in KJS Cement (I) Limited & Anr Vs. DGGST (W.P. Crl. No. 1232/2020). He is custody since 14.09.2020 and has till date not once been Interrogated by the IO. The respondent submitted that the investigation conducted so far revealed large scale fraudulent availment of ITC; the applicant had been granted bail previously subject to conditions, but he failed to comply with these conditions as he did not join inquiries despite repeated summons. The court observed that the accused is entitled to bail as not only he was arrested in pursuance to ongoing further investigation but also the fact that accused has prima facie shown that he has secured around 40% of the alleged tax evasion amount. The adjudication proceedings are yet to commence by the department as their investigation is not concluded and the complaint is not likely to be filed very soon.
Held that:- The Hon’ble High Court admitted bail of the accused on furnishing bail bond in the sum of Rs.1 Lac with one surety of like amount subject to the conditions that he shall join the investigation / inquiry on summons / intimation issued by the investigating officer and shall not leave the country without permission of the court.