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TaxTMI 
TaxTMI 
TaxTMI 
2022 (7) TMI 133
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...., 2017 (for short 'Act'). 2. The issue in the present case is with respect to availment of fraudulent credit. The Department in multiple cases found that invoices are prepared in order to create of transactions with respect to sale of goods and/or services. The respondent no.1 raided the premises of one Bharat Bhagwandas Soni on the basis of fake GST invoices issued by the Traders of Bullion and Diamond Products without supply of corresponding goods. During the search proceedings, it reveals that the present applicant Dharmesh Shah being a Director of M/s. Dee Cubes Pvt. Ltd and Proprietor of M/s. Gloriana Jewels having place of business at Ahmedabad, has availed ineligible ITC of Rs.7,80,80,991/- from non-existing fake firms namely Vishnu....
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....in moved an applications for regular bail before the Courts below and Courts below have rejected the bail application vide its order dated 22.03.2022 and 05.04.2022 respectively. 6. This Court has heard learned Senior counsel Mr. Manish Bhatt assisted by Mr. U.N. Sheth, learned advocate for and on behalf of applicant, Mr. Nikunt Raval, learned Standing Counsel for the respondent no. 1 and Mr. Manan Mehta, learned APP for the respondent State. 7. Mr. Manish Bhatt, learned Senior Counsel for and on behalf of the applicant has submitted that the applicant has not committed any offence and has been falsely involved without any reasonable ground. He urged that considering the object and scheme of the Act, the arrest would arise only when the i....
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....nless and until final adjudication, assessment, is not made out, the arrest of the applicant is arbitrary and illegal. 11. Learned Senior Counsel submitted that Section 107(6) of the Act provides for deemed stay against the coercive recovery of dues on predeposit of 10% of the disputed tax liability. Here in the present case, the company has already deposited more than 10% and therefore, case is made out for exercising discretion, enlarging the applicant on bail. 12. Lastly, it was submitted by learned Senior Counsel that the applicant does not have any past criminal record and he belongs to respectable family and has deep roots in the society and there is no any chances to flee from the justice. In these background facts, he urged that w....
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....received from the fake nonexistence firm and therefore, even after making such payment, the court has to consider the severity of the offence and its impact on the society. Thus, therefore, he submitted that the offence alleged committed in a planned manner with an object to gain personal profit, regardless of the consequences of the community. 17. Learned Standing counsel submitted that still matter is under investigation and there are missing link of chain which are yet to be joined and applicant being a main person of the company, his further custody is necessary and there are also chances of him to flee from the justice and he may influence the witnesses. 18. In support of aforesaid contentions, the learned Standing Counsel relied on ....
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....we will pay the ITC disputed and I assured that I will pay the disputed ITC through DRC....." 22. In view of the aforesaid facts, it is evident that the applicant has paid Rs.2,90,00,000/- through Electronic Cash Ledger as well cash. The amount involved is Rs.9.33 crores. In such circumstances, more than 10% amount has been deposited. It is settled law that there is no straight jacket formula for consideration of grant of bail to an accused. It all depends upon the facts and circumstances of each case. Here in the present case, after the arrest, the applicant has shown his bonafideness as discussed hereinabove. The applicant does not have any past record. The authority has expressed the apprehension that if bail is granted, the applicant ....