2020 (4) TMI 334 - HC - GST

Grant of Regular Bail - offence punishable under Section 132(1)(b) of CGST Act, 2017 - HELD THAT - 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. The applicant is ordered to be released on regular bail in connection with an offence on executing a personal bond of ₹ 10,000/- with one surety of the like amount to the satisfaction of the trial Court and subject to the conditions imposed - application disposed off.

Summary

Issues:
Application for regular bail under Section 439 of the Code of Criminal Procedure, 1973 in connection with an offence under Section 132(1)(b) of CGST Act, 2017.

Analysis:
The applicant sought regular bail under Section 439 of the Code of Criminal Procedure, 1973, related to an offence registered under Section 132(1)(b) of the CGST Act, 2017. The applicant's counsel argued for bail based on the nature of the offence, proposing suitable conditions. The respondent-State opposed bail, citing the seriousness of the offence. Both parties did not press for further reasoned order. After considering arguments, evidence, nature of allegations, and accused's role, the Court found it appropriate to grant bail. The Court noted the applicant's willingness to deposit a substantial amount and cooperate with the investigation. The Court also referred to the Supreme Court's decision in Sanjay Chandra Vs. Central Bureau of Investigation, [2012] 1 SCC 40, while making its decision.

The Court considered various aspects before granting bail, including the applicant's detention period, the nature of the alleged offence involving tax credit misuse, and the possibility of departmental action for recovery of penalties. The applicant's readiness to deposit a significant sum and cooperate with authorities influenced the decision. The Court ordered the applicant's release on regular bail upon executing a personal bond and providing a surety. Specific conditions were imposed, such as not misusing liberty, cooperating with the prosecution, surrendering passport, marking presence at the police station monthly, and providing address updates. Additionally, the applicant was required to file an undertaking to deposit a substantial amount within a specified timeframe.

The Court's order emphasized that the applicant should not be released if needed in connection with another offence. Breach of bail conditions would lead to appropriate actions by the Sessions Judge. The bail bond execution was to be done before the trial court, which could modify conditions as per the law. The Trial Court was instructed not to be influenced by the observations made in the current order during the trial. The rule was made absolute to the specified extent, allowing direct service.