Bail in CGST fake firm and input tax fraud case granted after prolonged custody and limited maximum punishment.

Bail was granted in a prosecution under the CGST Act for alleged fake firms and input tax fraud, where the accused had already remained in custody for nearly nine months. The Court noted that the offences invoked under Section 132(1)(b), (c), (f), (j) and (l) carried a maximum punishment of five years' imprisonment, and found that further incarceration was unwarranted at the bail stage in view of the custody already undergone. Bail was ordered subject to terms and conditions to be fixed by the Trial Court.

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Issues: Whether bail should be granted to the petitioner accused of offences under Section 132(1) of the Central Goods and Services Tax Act, 2017, in view of the period of custody already undergone and the maximum punishment prescribed.

Analysis: The petitioner was in custody for nearly nine months in connection with alleged fake firms and input tax fraud under Section 132(1)(b), (c), (f), (j) and (l) of the Central Goods and Services Tax Act, 2017. The offence was stated to carry a maximum punishment of five years' imprisonment. Taking into account the custody already undergone, further incarceration was found unwarranted at the bail stage.

Conclusion: Bail was granted to the petitioner, subject to terms and conditions to be imposed by the Trial Court.

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