Bail in GST offences granted where investigation is complete and evidence is documentary, subject to specified conditions.

Applications for regular bail in prosecutions under Section 132 CGST were granted where the court applied settled bail principles prioritising presumption of innocence and the norm of grant of bail. The court emphasised assessment of prima facie evidence, nature and gravity of the charge, severity of punishment, risk of absconding or tampering, and necessity for custodial interrogation; on the facts the investigation was complete, evidence was predominantly documentary and electronic, and no custodial interrogation was required. Result: petitioners released on regular bail subject to conditions including personal bonds with sureties, passport deposit, cooperation, non tampering, restraint on disposing relevant property, and provision of contact/Aadhaar details.

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Issues: Whether the petitioners accused of offences under Section 132 of the Central Goods and Services Tax Act, 2017 are entitled to regular bail pending trial.

Analysis: The Court examined statutory provisions including Section 132 of the Central Goods and Services Tax Act, 2017 (offences and punishment) and noted that the offences attract imprisonment up to five years and are compoundable under Section 138. The Court applied settled bail principles emphasizing presumption of innocence and that grant of bail is the norm, considering factors such as prima facie evidence, nature and gravity of charge, severity of punishment, risk of absconding, likelihood of tampering with witnesses, and whether custodial interrogation is necessary. The Court found that the allegations relate primarily to documentary and electronic evidence collected during investigation, that investigation is complete and complaint/chargesheet has been filed, and that no custodial interrogation by the prosecution was indicated. The Court observed that the prosecution evidence would largely be documentary and official witnesses, reducing the likelihood of tampering, intimidation, or need for continued physical custody.

Conclusion: The petitions are allowed and the petitioners are granted regular bail subject to conditions including furnishing personal bonds with two sureties, deposit of passports, cooperation in trial, non-tampering with prosecution evidence, restraint on disposing relevant property, providing Aadhaar and contact details, and abstention from criminal activity. The order is in favour of the petitioners (assessee).

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