2025 (3) TMI 1032

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....t, 2017, DGGI, Zonal Unit, Meerut. The applicant is in custody since his arrest on 19.9.2024. 2. The above complaint has been filed by Director General of GST Intelligence Zonal Unit, Meerut (hereinafter referred to as 'DGGI Meerut') through Brijender Singh Sodhi, Senior Intelligence Officer, DGGI, Regional Unit, Ghaziabad, wherein it is alleged that an intelligence input was received that M/s Shreeji Metal (GST No. 07BSCPG2345D129) has been indulging in availing ineligible Input Tax Credit (ITC) on the basis of fake invoices received from non-operational firms, as no supplies were made against those invoices, and Input Tax Credit passed by these fake firms is inadmissible to recipient. As per the complaint activities of three suppli....

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....the non-existent supplier firms. Thereafter, the detailed investigation was further conducted and involvement of eight more firms namely M/s Shree Mahaveer Ji Wire Industries, Kuber Metals, Mohata Wire Industries, RS Wire Company, Swastik Wire Industry, JSR Wire Industries, Shreeji Enterprises and Durga Metals was also found. The physical verification of the non-existent supplier firms was conducted by issuing notices to the proprietors and in response four proprietors had appeared, who got recorded their statements to disclose involvement of Mayank Kumar Rajput and Ankit Rajput in creation of the firms and running their business activities. As per the complaint, Mayank Kumar Rajput and Ankit Rajput also got their statements recorded on 24.....

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....d Senior Counsel for the applicant has argued that the applicant is a proprietor of firm M/s Shreeji Metals who is engaged in the business of manufacturing copper rods and wires which was registered under the GST Act, and since 2016 all the business activities of the firm were being conducted in a lawful manner and the tax returns were also filed in time. Learned Senior Counsel has further argued that the availment of Input Tax Credit already stood disclosed by the applicant, therefore, except the confession of the applicant and statement of Umakant, proprietor of M/s Shiv Wire Industries, there is no other evidence collected during investigation to suggest the commission of alleged crimes. Learned Senior Counsel has further argued that as ....

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....bail by this Court vide order dated 29.05.2024. 7. Upon hearing the learned Counsel for the parties and considering their arguments, this Court finds that the entire case of the prosecution is founded upon the documentary material and as far as the alleged ineligible availment of Input Tax Credit of Rs. 31.18 crores is concerned, the same is part of the tax returns filed by the applicant/firm M/s Shreeji Metals. Further, during the course of hearing, it is not disputed by the learned Counsel for the Union of India that the account of M/s Shreeji Metals was attached vide order dated 07.10.2024, but subsequently, it was liberated vide order dated 08.11.2024, Annexure-2 appended with the supplementary affidavit dated 22.01.2025. It is also ....