Ishak Shah Vs Union of India (Chhattisgarh High Court)
This was the first application filed by the applicant under Section 483 of the Bharatiya Nagarik Suraksha Sanhita, 2023 seeking regular bail in connection with Crime No. 783/2025 registered at the Police Station of the Director General of GST Intelligence, Raipur Regional Unit. The applicant was arrested for alleged offences punishable under Sections 132(1)(b), 132(1)(c), and 132(1)(f) of the Chhattisgarh GST Act, 2017, read with Sections 16, 122(1)(ii), 122(1)(vii), 122(1)(xvii), 122(1A), 135, 137, and 155 of the same Act.
According to the prosecution, the applicant, a director of a company, was alleged to have created private GSTINs and bogus firms and used them to avail fake input tax credit (ITC) without actual receipt of goods. It was alleged that fake invoices and fake e-way bills were generated for aluminium ingots and other aluminium products without any supply of goods. On the basis of these transactions, the applicant was alleged to have wrongfully availed and utilised fake ITC to set off outward GST liability of his firm and to have passed on such fake ITC to other firms, including his own company. During preliminary investigation, the authorities claimed that bogus firms were created to wrongfully avail ITC amounting to ₹5,28,79,620 for the applicant and ₹17,98,24,996 for the alleged fake firms during the financial years 2023–24 to 2025–26 (till June). On this basis, the complaint was filed and the offence was registered.
