Interim bail in CGST proceedings made absolute as custodial interrogation was no longer necessary after filing of complaint and cognizance.

Interim bail granted to the petitioners in CGST Act proceedings was made absolute because they had remained in custody for 70 days, the complaint had already been filed, cognizance had been taken, and the case rested mainly on documentary material, making custodial interrogation unnecessary. The High Court confirmed the bail to continue till trial or until quashing of the complaint. It also left open the issues of compounding and arrest for consideration in appropriate proceedings, permitting the petitioners to raise those questions separately later.

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Issues: Whether the interim bail granted to the petitioners in proceedings under the Central Goods and Services Tax Act, 2017 should be made absolute pending trial or quashing of the complaint.

Analysis: The petitioners had remained in custody for 70 days, the complaint had already been filed, cognizance had been taken, and the case was based primarily on documentary material. In these circumstances, custodial interrogation was no longer necessary. The Court also left open the legal issues concerning compounding and arrest for consideration in appropriate proceedings at a later stage.

Conclusion: The interim bail order was confirmed and made absolute till the trial or until the complaint is quashed. The petitioners were permitted to raise the unresolved legal issues in other appropriate proceedings.

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