2022 (10) TMI 85 - HC - GST

Seeking grant of Regular Bail - played role of middle man - offence punishable under Sections 132(1)(b) of the Gujarat Goods and Service Tax Act, 2017 and the Central Goods and Service Tax Act, 2017 read with Section-120(B) of the Indian Penal Code - HELD THAT - In the facts and circumstances of the case and considering the nature of the allegations made against the applicant in the First Information Report, without discussing the evidence in detail, prima facie, 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 registered with the Office of the Chief Commissioner of State Tax, Enforcement, Gujarat State, Ahmedabad on executing a personal bond of Rs.10,000/- with one surety of the like amount to the satisfaction of the trial Court and subject to the conditions imposed - application allowed.

Summary

Issues involved:
Application for regular bail under Section 439 of the Code of Criminal Procedure, 1973 for offences under Sections 132(1)(b) of the Gujarat Goods and Service Tax Act, 2017 and the Central Goods and Service Tax Act, 2017 read with Section-120(B) of the Indian Penal Code.

Detailed Analysis:

1. Nature of Offence and Bail Application:
The applicant filed an application for regular bail under Section 439 of the CrPC for offences under the GST Act and IPC. The Senior Advocate for the applicant requested bail considering the nature of the offence, while the Additional Public Prosecutor opposed it based on the gravity of the offence.

2. Consideration of Aspects:
The Court considered various aspects, including the arrest memo, the applicant's custody since a specific date, conclusion of investigation with co-accused on bail, principle of parity with similar cases, and readiness of the applicant to make voluntary deposits. The Court also noted the role of the applicant as a middleman and lack of antecedents against the applicant.

3. Legal Precedents and Discretion:
The Court referred to the law laid down by the Apex Court in the case of Sanjay Chandra v. CBI. Without delving into detailed evidence, the Court found it a fit case to exercise discretion and granted regular bail to the applicant.

4. Bail Conditions:
The Court ordered the release of the applicant on regular bail upon executing a personal bond with surety and imposed conditions such as not misusing liberty, cooperating with the investigation, surrendering passport, depositing a specific amount, marking presence at the police station monthly, and not leaving the state without permission.

5. Further Directives:
The authorities were directed to release the applicant only if not required in connection with any other offence. Breach of conditions would empower the Sessions Judge to take appropriate action. The bail bond was to be executed before the lower Court, with the option to modify conditions as per the law.

6. Trial Court Instructions:
The trial Court was instructed not to be influenced by the preliminary observations made by the High Court while granting bail. The application was allowed, and direct service was permitted.

This detailed analysis covers the legal judgment involving the application for regular bail under specific sections of the GST Act and IPC, highlighting the considerations, legal precedents, bail conditions, and further directives issued by the High Court.