Commissioner of the Central Goods and Service Tax Vs Sanjeev Malhotra & Anr. (Delhi High Court)
In Commissioner of the Central Goods and Service Tax vs. Sanjeev Malhotra & Anr., the Delhi High Court upheld the bail granted to Sanjeev Malhotra, a director of M/s Best Buildwell Private Limited, accused of filing GST input credit claims for non-existent firms. The bail was initially granted on January 24, 2024, by the Patiala House Court, despite the petition seeking its cancellation. The Department argued that the bail was granted too early and that custodial interrogation was not possible. However, no incriminating evidence or stock discrepancies were found during a surprise search on January 17, 2024. The court noted that the investigation is largely documentary and the accused has complied with bail conditions, including cooperating with the investigation and depositing 10% of the alleged amount. The court concluded there was no justification for bail cancellation and dismissed the petition, allowing the accused to continue cooperating with the investigation while retaining the right for the Department to seek revocation in case of bail violations.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
1. The present petition has been filed seeking cancellation of bail granted to the respondents vide order dated 24.1.2024 passed by the learned ASJ-03, Patiala House Court, New Delhi.
