Bail granted to Youth accused of Evading GST by bogus invoices

In a recent judgment, the High Court of Punjab & Haryana, in case of Abhishek Modgil Vs State of U.T. Chandigarh, dated June 12, 2020, granted anticipatory bail to 24 years young boy accused on account of committing an offence of tax evasion to the tune of Rs. 4,02,00,136 by generating bogus invoices of sales and purchases.

Brief facts of Judgment

• It was contended by counsel of petitioner that petitioner is a 24 years young boy and not even enough educated to carry out the bogus transactions and he has been simply made a scapegoat.
• The identity documents of petitioner were misused and a dummy firm was created, wherein alleged bogus transactions executed to evade the government taxes.
• Further contended, the petitioner has nothing to do with these transactions and he will provide complete cooperation in the investigation. And, the whole case is based on documentary evidence available with police and custodian interrogation of the petitioner is not required.
• On the other hand, the counsel of department contented, the petitioner not only cheated the tax authorities but committed criminal offence as well by forging bogus receipts. Consequently, custodial interrogation of the petitioner is necessary to elicit truth.

High Court Order

• The court said, the petitioner has any role in entire gamut or he has been made scapegoat can be ascertained once petitioner joins investigation. So, in view of that, the concession of anticipatory bail can be given.
• The petitioner is ordered to be released on anticipatory bail on furnishing of bail bonds to the satisfaction of Chief Judicial Magistrate/Duty Magistrate, subject to his complying with provisions contained in Section 438(2) Cr.P.C.
• The Petitioner shall join the investigation and shall appear before investigating officer as and when called to do so and would cooperate in the investigation, and if fails, the state has liberty to approach us for the cancellation of protection given to the petitioner.

Comments

There may be circumstances that the petitioner is not a tax evader and indeed, someone has misused the identity of the petitioner and enriched himself. Therefore, we should always take every possible caution to keep their important documents confidential