2024 (1) TMI 806 - HC - GST

Seeking grant of Regular Bail - evasion of GST - supplying goods without issuing invoices - HELD THAT - Considering the fact that the petitioner has been in custody since 13.11.2023, that the investigation has progressed, though the charges against the petitioner are serious, bail is granted to the petitioner, taking note of the length of detention, on strict conditions. This application is allowed and the petitioner is granted bail subject to the conditions imposed.

Summary

Issues involved: Regular bail application u/s 439 of CrPC; Allegations of tax evasion u/s 132(1) of Kerala State Goods and Services Tax Act, 2017.

Summary:
The petitioner filed a second application for regular bail u/s 439 of the CrPC, being the sole accused in a case registered under Section 132(1) of the Kerala State Goods and Services Tax Act, 2017. The prosecution alleged that the petitioner, a dealer under the GST Act, engaged in tax evasion amounting to 6.14 crores by supplying taxable goods without issuing invoices since 2018. Following a raid and subsequent arrest, the petitioner sought bail, claiming innocence and unnecessary custody since 13.11.2023.

The petitioner's counsel argued innocence and malicious implication, emphasizing the extended custody's unwarranted nature. In contrast, the Special Government Pleader (Taxes) opposed bail, citing ongoing investigations.

Considering the petitioner's prolonged detention, progressing investigation, and the seriousness of charges, bail was granted under stringent conditions. The conditions included executing a bond, providing sureties, depositing a security sum, regular appearances before the Investigating Officer, non-interference with the investigation or witnesses, prohibition from committing further offences, surrendering passport if applicable, disclosing contact details, staying within Kerala, and empowering the jurisdictional Court to cancel bail upon condition violations.