Introduction: The Hon’ble Gujarat High Court, in the case of Hitendra Chandrakant Shah v. State of Gujarat [R/Criminal Misc. Application No. 16639 of 2023 dated December 6, 2023], has addressed the crucial question of whether anticipatory bail should be granted in cases involving serious economic offenses. The court’s decision reflects a significant perspective on the societal impact of economic crimes. The Hon’ble Gujarat High Court dismissed the petition filed by the accused seeking anticipatory bail, in case of serious economic offence, wherein there is a wide negative impact on society.
Facts:
Hitendra Chandrakant Shah (“the Petitioner”), being one of the Accused filed an anticipatory bail application under Section 438 of the Code of Criminal Procedure Code (“Cr.P.C.”). It was alleged by the State (“the Respondent”) that the Petitioner in collusion with other accused, for availing the financial benefit opened a fake GST Account, based on false and fabricated documents to obtain Input Tax Credit (“ITC”) illegally.
The Petitioner contended that, during the alleged period of committing offences, the Petitioner was in custody for some other offence and was later released on regular bail. Also, to harass the Petitioner, after receiving information from the GST officer, the Police had filed the FIR in question.
Being aggrieved, the Petitioner filed anticipatory bail under section 438 of the Cr.P.C.
Issue:
Whether Anticipatory Bail should be granted in case of serious economic offences?
Held:
The Hon’ble Gujarat High Court in case of R/Criminal Misc. Application No. 16639 of 2023 held as under:
- Relying upon the judgement in the case of Nimmagadda Prasad v. Central Bureau Of Investigation [Criminal Appeal No. 728 of 2013 dated May 9, 2013], noted that, in cases pertaining to economic offences should be dealt differently, as it can lead to huge loss to the economy of state. Also, the Court relied upon the judgment in the case of Chidambaram v. Directorate Of Enforcement [Criminal Appeal No. 1340 of 2019 dated September 05, 2019], wherein it stated that in case of economic offence, having an impact on the society, the Court should be slow in exercising discretion for granting Anticipatory Bail under Section 438 of the Cr.P.C.
- Opined that, prima-facie a case of serious economic offence has been made out against the Petitioner, having a wide impact on society. No case is made out to for granting the relief of Anticipatory bail to the Petitioner-accused.
- Held that, the petition is dismissed.
Conclusion:
In the landscape of economic offenses, the Gujarat High Court’s decision sets a precedent for a careful evaluation of anticipatory bail requests. The judgment underscores the court’s recognition of the broader societal implications of economic crimes, influencing its discretion in such matters. This case serves as a noteworthy legal standpoint in balancing individual rights against the potential harm to the economy and society caused by serious economic offenses.
****
(Author can be reached at info@a2ztaxcorp.com)
Author Bio
