Aman Kumar Agrawal Vs State of Chhattisgarh (Chhattisgarh High Court)
The Chhattisgarh High Court has granted bail to Aman Kumar Agrawal, a proprietor accused of fraudulently availing approximately ₹23.08 crore in Input Tax Credit (ITC) under the CGST Act, 2017. The court’s decision came in a bail application filed under Section 483 of the Bhartiya Nagarik Suraksha Sanhita, 2023.
According to the prosecution, Agrawal, operating two firms, M/s Agastya Enterprises and M/s Agrawal Enterprises, allegedly claimed ITC of ₹9 crore and ₹14.08 crore, respectively, without the actual receipt of goods or services. The defense argued that the essential elements of the offenses under Sections 69 and 132 of the CGST Act were not met, as tax liability had not yet been assessed or quantified. The defense also cited Supreme Court precedents like Arnesh Kumar, Satender Kumar Antil, and Vineet Jain, arguing that the mandatory safeguards for arrest were not followed. They also noted that other high courts had held that arrest under the Act was not justified without proper assessment and notice.
After reviewing the case, the Chhattisgarh High Court determined that bail was appropriate. The court’s decision was based on the fact that the investigation was complete, the formal complaint had already been filed, and the trial was expected to be lengthy. Agrawal, who had been in custody since June 10, 2025, was ordered to be released on a personal bond of ₹1,00,000 with one solvent surety. The court’s order will remain in effect until the case is disposed of.
