Bail in CGST prosecution granted after prolonged custody, with bail made conditional on a monetary deposit under protest.

Bail under Section 439 CrPC was considered in a CGST prosecution where the accused had been in judicial custody since 04.11.2022, the challan had been filed, and no further investigation remained pending. The Court noted that the trial was likely to take considerable time and that continued custody could exceed the statutory punishment period for the alleged offence under Section 132(1)(i) of the CGST Act. Bail was therefore granted, subject to bail bonds and a monetary deposit under protest.

---

---

Issues: Whether bail should be granted to the accused petitioner under Section 439 of the Code of Criminal Procedure, 1973 in connection with allegations under the Central Goods and Services Tax Act, 2017, and whether the bail could be conditioned upon deposit of a specified amount.

Analysis: The petitioner had remained in judicial custody since 04.11.2022, the challan had already been presented, and no further investigation was pending. The alleged offence was examined in the context of the statutory punishment under Section 132(1)(i) of the Central Goods and Services Tax Act, 2017, and the Court noted that the trial would take considerable time. In these circumstances, the Court found that continued custody could extend beyond the period of punishment prescribed for the offence. Without expressing any opinion on the merits, the Court considered it just and proper to grant bail with a monetary condition.

Conclusion: Bail was granted to the petitioner under Section 439 of the Code of Criminal Procedure, 1973, subject to execution of bail bonds and deposit of Rs. 3 crores before the respondent Department under protest.

---