Parteek Das Gupta Vs State of Haryana and others (Punjab and Haryana High Court)
Regular Bail Allowed in GST Fraud Case Due to Cooperation During Investigation; HC Grants Bail in Input Tax Credit Evasion Case Because Further Custody Was Not Needed; Bail Granted in GST Case Despite Alleged Rs.19 Crore Liability Due to Documentary Evidence; Punjab & Haryana HC Allows Bail After Accused Agrees to Deposit Additional Amount.
The Punjab and Haryana High Court granted regular bail to a petitioner accused under Sections 69, 132 and 137 of the Haryana Goods and Service Tax Act, 2017, in a case involving alleged wrongful availment of input tax credit and tax evasion exceeding Rs.7 crores. The petition was filed in relation to proceedings initiated through case No. HGST-IU/PIR 1122016 dated 25.11.2022 before the Additional Chief Judicial Magistrate, Gurugram.
The petitioner argued that he had cooperated with the investigation since 2022 and had regularly appeared before the authorities while providing the information sought by the department. However, on 01.02.2024, his response was considered unsatisfactory and he was arrested. The petitioner further submitted that a show cause notice under Section 74(1) of the HGST Act was issued only after his arrest on 29.03.2024. It was also argued that the company, in which the petitioner was a Director, was undergoing Corporate Insolvency Resolution Process before the National Company Law Tribunal and any claims of the GST Department would have to be lodged before the Insolvency Resolution Professional. According to the petitioner, the entire case was based on documentary evidence and no further custodial interrogation was necessary.
