TaxTMI 
TaxTMI 
TaxTMI 
2021 (12) TMI 1263
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.... is proprietor of Swara Jewels engaged in the business of gold. Respondent No.2 is the Central Goods and Service Tax Authority. In the inquiry initiated vide No. F.No. V/AE/ MC/TF-II/Swara/89/2021, respondent No.2 on 25.03.2021 conducted applicant's office search situated at Mumbadevi. In respect of the said inquiry, respondent No.2 issued a summons dated 28th June, 2021 u/sec.70 of the CGST Act, 2017, to the applicant whereupon the applicant attended the office of respondent No.2 and his statement came to be recorded and the applicant also furnished the copies of documents to respondent No.2. 3. Aggrieved by the said summons dated 28th June 2021, the applicant by present application requested for anticipatory bail contending that he has a....
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....itions. 5. On the other hand, Ld. Advocate Shri Natrajan on behalf of the Responent -CGST argued that ITC has been availed in the name of non existing firms which were made in the name of poor people. The modus operendi is GST registration has been made by obtaining KYC documents and opening bank accounts in the name of poor people. Mastermind of the same operation is Guatam Joshi, who floated fake firms for the same object. The applicant has availed GST from such non existing firms namely 'Sandeep Trading', 'Arihant Traders', 'M/s. Golden Bullion', 'Gajmukhi Bullion' and 'M/s. Mumbadevi Bullion'. The applicant has availed input tax credit of about Rs. 20 Crores. Many other bogus companies/firms are involved in the same. Still investig....
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....pplication, the Court must take into consideration settled principles of law. The same are, i) whether there is prima facie case or reasonable ground to believe that the accused has committed the offence. ii) Nature and gravity or seriousness of the accusation. Iii) Antecedents of the applicant. iv) Possibility of accused absconding. v) Likely object of the accusation to humiliate or malign the reputation of the applicant. vi) Apprehension of causing destruction of evidence by the accused while the investigation is in progress. Each case has its own facts and circumstances and on the basis of the same, in the background of the settled principles of law entitlment of the bail has to be considered. 9. The relevant case law....
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.... department and bank accounts of the applicant therein were already frozen. 15. In the case of 'Abdul Shaji', The Kerala High Court observed that till the commissioner records his satisfaction on ' reasons to believe' the assessee cannot be arrested. 16. In the case of 'Hanumanthappa', it is held that anticipatory bail petition is maintainable for the offences under the CGST Act. In the case of 'Krishna Murari' and 'Sunil Kumar Jha' in the facts and circumstances of those cases, bail was granted. 17. In the case of 'P. V. Ramana Reddy', the Telangana High Court held that regarding arrest, section 69 uses the words ' reasons to believe' and not ' reasons to be recorded' and therefore it is enough if the reasons are found in the file, thou....
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....country". 20. Also appropriate to note the decision of division bench of Hon'ble Bombay High Court in the case of 'Amit Shukla v/s. Union of India', Writ Petition (St) No. 9335 of 2021 decided on 06.05.2021. In the same case, before the Hon'ble Bombay High Court, the decision in the case of 'Daulat Mehta' was relied upon by the petitioner therein praying for bail contending that in the almost similar circumstances the court had granted bail The Hon'ble Bombay High Court in the case of 'Amit Shukla distinguished the case of 'Daulat Mehta'. Considering the magnitude and the scale of the alleged fraud involving public money and the critical stage of investigation, the Hon'ble Bombay High Court in the case of 'Amit Shukla' declined to gran....