Delhi HC grants anticipatory Bail in GST Evasion case

Fact and Issue of the case

The present application has been filed under Section 438 Cr.P.C. on behalf of the applicant seeking anticipatory bail in File No. under Section 132(1)(b) of the CGST Act, 2017.

Observation of the Court

Mr. Kanhaiya Singhal, learned counsel for the applicant, though disputes the amount of liability, however submits that in order to show his bona fide and without prejudice to his rights and contentions, the applicant undertakes to deposit the 10% of the liability amount with the respondent, after deducting the aforesaid amount of Rs.30 lacs, in terms of the order dated 06.08.2019 passed by the Supreme Court in the case of C. Pradeep v. The Commissioner of GST and Central Excise, Selam & Anr. in Special Leave to Appeal (Crl.) 6834/2019 in the following manner:

(i) The first instalment of Rs.2 crores shall be deposited by the applicant on or before 16^th August, 2021.

(ii) The second instalment of Rs.2 crores shall be deposited by the applicant on or before 5^th September, 2021.

(iii) The balance amount of Rs.1.30 crores shall be deposited by the applicant on or before 20^th September, 2021.

The applicant’s undertaking is taken on the record and he is made bound by the same. An affidavit to this effect shall also be placed on record within one week.

Subject to the aforesaid deposit of amounts, joining of investigation as and when called to do so and cooperating in the same, no coercive steps be taken against the applicant till the next date of hearing. Re-notify on 23.09.2021.

It is made clear that in case the applicant renege on the undertaking given by him in Court today and fails to deposit the instalments in the aforementioned manner, the interim protection granted to him shall stand recalled automatically.