TaxTMI 
TaxTMI 
TaxTMI 
2021 (10) TMI 141
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....il in the investigation/inquiry carried on by the respondent in DZU/INV/GST/A894/2021 registered under Sections 132(1)(b) & (c) of the Central Goods and Services Tax Act 2017 (in short CGST Act). 2. According to the respondent, on an investigation/inquiry carried out a complaint has already been filed against the petitioners before the learned Trial Court with the allegations that M/s. Jetibai Grandsons Services India Pvt. Ltd. (in short JGSIPL) along with various other firms including M/s. Urja Global Limited (in short Urja) of which petitioner Yogesh Kumar Goyal is a Director are allegedly involved in fraudulently availing and passing on ineligible/ fake Input Tax Credit (in short ITC). As per the respondent M/s. JGSIPL purportedly showe....
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....is of the said invoices JGSIPL has availed and utilized ineligible ITC of Rs.17.21 crores and that M/s. Urja has made no inward purchase as mentioned in the invoices and just ITC has been passed on to M/s. JGSIPL. Petitioner Krishan Kumar Bansal is the CFO of M/s. JGSIPL. Further the analysis of the electronic data of M/s Urja, which Yogesh Kumar Goyal relied shows that it purchased goods from M/s Tech Metallic and M/s Vision Metal Industries, however payments including GST to the tune of Rs.18 crores approximately still pending to be made to them even after a span of six months which also renders the input tax credit availed on such purchase ineligible under Section 16 of the CGST Act, 2017. 5. As per the Status report, further verificati....
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....n Kumar Bansal stated that invoices without the supply of goods were issued and on the basis of said invoices M/s. JGSIPL has availed and utilized ITC worth Rs.72 crores approximately, making it a total of fraudulent ITC worth Rs.72 crores approximately. 8. Learned counsels for the petitioners have raised various issues in relation to the present investigation/inquiry being carried out by the respondents as also the complaint filed. It is contended that hurriedly on 60th day at 7.00 PM after the Court hours were over so as to frustrate the right of the petitioners to get bail under Section 167(2) Cr.P.C., an incomplete complaint was filed before the Duty Magistrate wherein it is clearly noted that further investigation is going on. Further....
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....ason the petitioner paid due taxes. He further states that the two concerns M/s. JGSIPL and M/s. Sun Automation Ltd. have taken the benefit of ITC whose Directors have not been arrested and no complaint has been filed against them as yet. Statement of the petitioner under Section 136 of the GST Act cannot be treated as a confession unless the same is proved in the Court during the trial. He states that all offences if any are compoundable and that too post-assessment. Serious issues arise as to the manner in which complaint has been filed which can only be decided by the Assessing Officer and not by a Magistrate during the course of trial. It is further stated that the satisfaction as required under Section 69 of the CGST Act has not been a....
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....sed loss to the exchequer, but also that M/s. Urja owes a sum of Rs.17 crores approx. to its suppliers whereas M/s. Microlyte owes a sum of Rs.50 crores approx. to its suppliers. Reliance is placed on the decision reported as 2019 (25) G.S.T.L. 185 P.V. Ramana Reddy Vs. Union of India. 13. Considering the rival contentions of the parties, parties are directed to file their written submissions. Written submissions be filed by the petitioners within two weeks and response to the written submissions be filed by the respondent within two weeks thereafter. 14. On 11th November, 2021 the BAIL APPLN. No. 2019/2021 is also listed before this Court wherein also considering the issue that without issuance of any show cause notice and with no procee....