Home Case Index All Cases GST GST + HC GST - 2022 (3) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (3) TMI 1155 - HC - GSTSeeking grant of Regular Bail - availment of illegal input tax credit - fictitious entities - fake purchases from 24 fictitious entities - allegation against the applicant is of committing offence under section 132(1)(c) of the GGST Act & CGST Act - HELD THAT:- The applicant is alleged to have fraudulently claimed input tax credit to the tune of ₹ 31.02 Crores by showing fake purchases from 24 fictitious entities to the tune of ₹ 172.36 Crores. In pursuance of the summons issued by the respondent tax authority in December 2021, the applicant appears to have supplied documentary evidence to the complainant-tax authority relating to the consignment of goods as also the vehicles used for transporting the goods. It is the say of the respondent-tax authority that it is seized with a list of fictitious firms from whom the applicant’s firm is said to have made fake purchase transactions - in this petition filed under Section 439 of Cr.P.C., this Court is not required to go into the veracity of the claims made by either side. Whether or not the applicant has availed input tax credit by showing fake purchases from fictitious firms would be a matter of trial. The offence alleged against the applicant is economic offence, which has resulted in loss to the State exchequer. Of course, economic offences are grave in nature, being a class apart, which arises out of deep-rooted conspiracies and therefore, the effect on the community as a whole is to be kept in view while consideration for bail is made. But, at the same time, seriousness of charge is not the only relevant factor to be considered while dealing with bail applications. Considering the statutory limit provided under the GGST Act & CGST Act for filing complaint as also the facts and circumstances of the case and without discussing the evidence in detail, this Court is inclined to grant regular bail to the applicant, subject to conditions imposed - bail application allowed.
|