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TMI Blog2021 (9) TMI 574X X X X Extracts X X X X X X X X Extracts X X X X ..... Court for grant of bail under Section 439 of Cr.P.Code. 2. The Learned advocate for the applicant has submitted that unless and until assessment as provided under Section 73 and 74 of the Act is made no offence can be said to be made out. According to him in this case the respondent has never served notice upon the applicant and therefore it cannot be said that the offence punishable under section 132 of the Act is made out. In support of he submission he has relied upon following judgments. 1. M/s. Jaychandran Allys (P) Ltd. Vs. The Superintendent of GST and Central Excise Salen in W.P.No.5501 of 2019. 2. Prasad Purshotam Mantri Vs. Union of India in W.P.1516.2018 dated 18/4/2019. 3. The Learned advocate for the applicant has furthe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der; (i) The scheme of the provisions of the Finance Act 1994 (FA), do not permit the DGCEI or for that matter the Service Tax Department (ST Department) to by-pass the procedure as set out in Section 73A(3) and (4) of the FA before going ahead with the arrest of a person under Sections 90 and 91 of the FA. The power of arrest is to be used with great circumspection and not causally. It is not to be straightway presumed by the DGCEI, without following the procedure under Section 73A(3) and (4) of the FA, that a person has collected service tax and retained such amount without depositing it to the credit of the Central Government. 6. Upon perusal of the aforesaid judgment of Hon'ble Delhi High Court it does not reveal that there is co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transactions to the applicant. On the point of functioning of the firm namely M/s. Harmony Technologies, the prosecution has placed on record photographs showing that at the time of visit dated 30.11.2020, it was found that the premises i.e. ground floor, plot 11, 4 Muzafarabad Hall Compound, V.A.Patel Marg, Grant Road Railway Station, Mumbai, the said premises was found to be occupied by M/s. A.H. Enterprises, who told that no business entity in the name of M/s. Harmony Technologies was marked in the said premises. In view of these allegations and the supported documents, I have no hesitation to hold that there is prima facie substance in the allegations made against the present applicant. 8. Much has been argues by the Learned advocate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n'ble Apex Court in the case of Nimma Gaudda Prasad Vs. CBI (2013) 7 SCC 466 wherein the the Hon'ble Apex court has held as under; "28. Economic offences constitute a class apart and need to be visited with a different approach in the matter of bail. The economic offence having deep rooted conspiracies and involving huge loss of public funds needs to be viewed seriously and considered as grave offences affecting the economy of the country as a whole and thereby posing serious threat to the financial health of the country. 29. Taking note of all these aspects, without expressing any opinion on the merits of the case and also with regard to the claim of the CBI and the defence, we are of the opinion that the appellant cannot be re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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