Regular bail in alleged input tax credit fraud refused where gravity, witness concerns and revenue loss weighed against release.

In a prosecution alleging fraudulent passing on of inadmissible input tax credit, the Court weighed the gravity of the offence, the substantial revenue loss and the fact that material witnesses remained unexamined. It accepted the apprehension that release at that stage could lead to witness influence or absconding, and therefore found regular bail not warranted. The petitioner was held not entitled to regular bail.

---

---

Issues: Whether the petitioner was entitled to regular bail in a prosecution concerning alleged fraudulent passing on of inadmissible input tax credit involving a very high monetary magnitude.

Analysis: The allegations involved a substantial revenue loss and the material witnesses were yet to be examined. The Court considered the gravity of the offence and the expressed apprehension that release on bail could result in influencing witnesses or absconding. In these circumstances, the Court found that bail was not warranted at that stage.

Conclusion: The petitioner was held not entitled to regular bail.

---