https://www.taxtmi.com/forum/issue?id=121073 Closure or dropping of GST adjudication under Section 74 does not automatically end prosecution under Section 132, since the proceedings are legally distinct. A separate judicial order is generally required to terminate the criminal case. Where the closure order exonerates the assessee on merits and rejects the factual basis of alleged evasion, fraud, or suppression, it may be produced with DRC-03, payment evidence, and departmental communications to seek discharge or closure, followed by quashing if necessary. Compounding under Section 138 is an alternative settlement mechanism, not an automatic requirement. en-us Mon, 17 Aug 2026 09:53:34 +0530 Thu, 20 Aug 2026 11:16:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=121073 Closure or dropping of GST adjudication under Section 74 does not automatically end prosecution under Section 132, since the proceedings are legally distinct. A separate judicial order is generally required to terminate the criminal case. Where the closure order exonerates the assessee on merits and rejects the factual basis of alleged evasion, fraud, or suppression, it may be produced with DRC-03, payment evidence, and departmental communications to seek discharge or closure, followed by quashing if necessary. Compounding under Section 138 is an alternative settlement mechanism, not an automatic requirement. Discussion-Forum GST Mon, 17 Aug 2026 09:53:34 +0530 https://www.taxtmi.com/forum/issue?id=121073