2019 (5) TMI 1678 - HC - GST

Grant of Regular Bail - Section 69 of the Central Goods and Service Tax Act, 2017 - HELD THAT - Perusing the material placed on record and taking into consideration the facts of the case, nature of allegations, gravity of offences, role attributed to the accused, without discussing the evidence in detail, this Court is of the opinion that this is a fit case to exercise the discretion and enlarge the applicant on regular bail. This Court has also considered the aspects that; (i) the applicant is in jail since 18.3.2019; (ii) the applicant is arrested for the alleged offence under the provisions of the Central Goods and Service Tax Act, 2017. The learned senior counsel, under the instructions, further submits that the applicant is also ready and willing to deposit further amount of ₹ 21 lacs within a period of six months from the date of release of the applicant - In view of the aforesaid, without going into the further merits of the case and looking to the over all facts and circumstances of the case, it is deemed fit to consider the case of the applicant. The applicant is ordered to be released on regular bail - application allowed.

Summary

Issues:
Application for regular bail under Section 439 of the Code of Criminal Procedure, 1973 in connection with arrest memo dated 18.3.2019 and F.No.DGCEI/AZU/12(4)73/2018-19 under the Central Goods and Service Tax Act, 2017.

Analysis:
The applicant filed an application for regular bail under Section 439 of the Code of Criminal Procedure, 1973, concerning an arrest memo dated 18.3.2019 and F.No.DGCEI/AZU/12(4)73/2018-19 issued under the Central Goods and Service Tax Act, 2017. The applicant's advocate argued for bail based on the nature of the offense, while the respondent-State opposed it citing the gravity of the offense. Both parties did not press for a further reasoned order. After considering the arguments and the material on record, the court decided to grant bail to the applicant. The court noted the applicant's time in jail since the arrest, the nature of allegations, the gravity of offenses, and the role attributed to the accused. The court also took into account an undertaking by the applicant's father to pay outstanding tax liabilities and additional amounts within specified timelines.

The court considered the maximum punishment for the alleged offenses, the undertaking by the applicant's father to pay outstanding tax liabilities, and the willingness of the applicant to deposit a further amount within a specified timeframe. The respondent-department expressed satisfaction with the undertaking given on behalf of the applicant. The court also referenced the law laid down by the Hon'ble Apex Court in the case of Sanjay Chandra Vs. Central Bureau of Investigation, reported in [2012] 1 SCC 40. Consequently, the court allowed the application and ordered the applicant's release on regular bail upon executing a personal bond and surety to the satisfaction of the trial court, subject to specific conditions to ensure compliance and prevent misuse of liberty.

The court imposed various conditions on the applicant upon release, including not misusing liberty, surrendering the passport, marking regular presence before the Police Station, providing the current address, abiding by the undertaking and depositing the specified amount within the agreed timeframe. Any breach of the conditions would lead to serious consequences as per the court's order. The court emphasized that the applicant should file an undertaking before the trial court and that the trial court should not be influenced by the prima facie observations made in the present order. The court also allowed for modifications or relaxations of the conditions by the concerned court in accordance with the law.