2026 (8) TMI 83

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....ered at Police Station-General of Goods and Service Tax Intelligence/DGGI, Regional Unit, Raipur for the offences punishable under Sections 7, 16(1), 16(2), 20, 29(2)(E), 31, 37, 38, 39, 41, 67(1), 69, 70, 122(1)(ii), 122(1)(vi), 122(1)(xvii), 122(1A), 132(1)(i), 132(1)(i)(B), 132(1)(C), 132(1)(F), 132(5), 132(6), 135, 135(B), 137 and 155 of the Central Goods and Service Tax, 2017. 2. As per the prosecution story, during a departmental investigation into an alleged Input Tax Credit (ITC) fraud relating to M/s Srishti Construction, Devpuri, Raipur, the applicant was found to be the mastermind of the fraud. It is alleged that the firm availed fake ITC of approximately Rs.17.18 crore and passed on fake ITC of about Rs.10.82 crore to various....

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....terial is sufficient to establish the applicant's conscious involvement, criminal intent, beneficial ownership, or effective operation and control of the alleged entities are matters requiring detailed appreciation of evidence during trial and cannot be conclusively determined at the stage of consideration of bail. It is further submitted that the Department has failed to produce any unimpeachable documentary evidence establishing that the applicant was the proprietor, owner, or person exercising effective control over the alleged entities. Mere allegations describing the applicant as the "mastermind" or a facilitator, unsupported by independent documentary evidence, are insufficient to justify prolonged pre-trial incarceration. It is a....

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....mpering with the prosecution evidence or absconding. It is also submitted that, except for one criminal antecedent, the applicant has no other criminal history. On these grounds, it is prayed that the applicant be enlarged on bail. 4. Per contra, learned counsel appearing for the respondent opposes the bail application and submits that the fraudulent availment of ITC amounting to Rs.17,18,23,354/- and the passing on of fake ITC amounting to Rs.10,62,66,870/- across multiple States constitute a grave economic offence affecting the integrity of the GST regime and causing substantial loss to the public exchequer. It is contended that the applicant's continued custody is necessary to safeguard public revenue, facilitate the apprehensi....