2026 (8) TMI 901

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....No. GEXCOM/AE/INV/GST/13377/2025 under Sections 132(1)(c) punishable under sub-clause (i) of sub-Section (1) of Section 132 of the Central Goods and Services Tax Act, 2017 read with Section 20 of the Integrated Goods and Services Tax Act, 2017, illegal; (ii) Quashing/setting aside of order of arrest of the petitioner and subsequent remand order dated 29.07.2026 of learned Duty Judicial Magistrate Ist Class, Panchkula, (iii) Quashing/setting aside of show cause notices dated 19.02.2026, 19.06.2026, 22.07.2026, 13.05.2026, 29.07.2026 and 29.07.2026; (iv) direction to release the petitioner from custody forthwith. 2. Learned counsel for the petitioner submits that petitioner, Director of M/s. Rebuild Energy, was i....

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....eneral in nature, failing to effectively communicate the material, which constituted the foundation of his arrest. The respondents sought judicial remand before learned Duty/Judicial Magistrate Ist Class, Panchkula, who mechanically authorized judicial custody without examining the legality of arrest and contradictory arrest records. The remand order did not record any independent satisfaction regarding compliance of constitutional and statutory safeguards governing arrest. Thus, arrest of the petitioner and consequent remand orders were unconstitutional, arbitrary, without jurisdiction, violative of Articles 14, 21 and 22 of the Constitution of India, Sections 6(2)(b), 69 of the Central Goods and Services Tax Act, 2017 and Section 187 of B....

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.... table which gives the precise details of the tax payer, its registered address, nature of business, proprietor, role of the arrestee, total wrongful ITC availed and the period involved. It also gives the details of the GST evasion/inadmissible availment of fraudulent ITC by M/s. Rebuild Energy through 25 bogus/non-existent suppliers (dummy firms). Not only the names of the dummy firms have been recorded in Annexure P-11 but also the precise amount of fake ITC passed on to M/s. Rebuild Energy along with the date of registration, status and the reasons for cancellation. The document which bears an endorsement of 03 officers that "the arrestee refused to receive and acknowledge the copy of intimation of grounds of arrest in the presence of pa....

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....al's case does not expressly lay down that the "reasons to believe" required to be recorded by the Commissioner, are required to be supplied to the accused. 9. Record shows that upon production before learned Judicial Magistrate Ist Class, it was ensured by the judicial officer that the petitioner is represented by legal aid counsel or defence counsel of his choice. The order of remand was passed only after petitioner was represented by Legal Aid Counsel, Panchkula and another private counsel. Learned Judicial Magistrate Ist Class, Panchkula, after taking note of the submissions made by the Investigating Agency and the defence counsel, observed that grounds of arrest were duly communicated to learned counsels for the accused in writing a....