Regular bail in GST fraud prosecution granted after completed investigation, documentary evidence, and no proven trial-risk factors.

In GST-related economic offence prosecutions, bail cannot be denied as a punitive measure merely because the are serious; the court must assess gravity alongside punishment, stage of investigation, trial length, and the risk of flight, tampering, or witness influence. Here, investigation was complete, the complaint had been filed, the evidence was largely documentary, custody had already been substantial, and the trial was unlikely to finish soon because of the large number of witnesses. As no concrete material showed a real risk of absconding, evidence tampering, or witness interference, regular bail was granted on terms fixed by the trial court.

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Issues: Whether the petitioners were entitled to regular bail in a prosecution alleging fraudulent availment and passing on of input tax credit in a GST-related economic offence, and whether the stage of investigation and length of custody justified enlargement on bail.

Analysis: Bail is not to be refused as a punitive measure merely because the accusation is serious. Even in economic offences, the gravity of the charge is only one relevant factor and must be assessed along with the severity of punishment, the stage of investigation, the expected length of trial, and the three-fold considerations of flight risk, tampering with evidence, and influencing witnesses. On the facts, the complaint had already been filed, investigation stood completed, the evidence was largely documentary, the petitioners had remained in custody for a substantial period, and the trial was not likely to conclude shortly in view of the large number of witnesses. No concrete material showed that release on bail would create a real risk of absconding, tampering, or witness interference.

Conclusion: The petitioners were entitled to regular bail.

Final Conclusion: Prolonged pre-trial incarceration was held unnecessary in the circumstances, and the petitions were allowed with bail to be granted on terms fixed by the trial court.

Ratio Decidendi: In economic offence prosecutions, once investigation is complete and the triple test is satisfied, continued custody cannot be justified solely on the seriousness of the allegations; bail should ordinarily be granted unless specific risks to trial are shown.

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