Kapil Chugh Vs State of U.P. (Allahabad High Court)
Summary: Allahabad High Court allowed the application filed by Kapil Chugh and set aside the entire proceedings of Case No. 4647 of 2026 arising from Case Crime No. 287 of 2025, including the charge sheet dated 10.06.2026 and cognizance order dated 17.06.2026, insofar as they concerned the applicant. The proceedings had been initiated under Sections 318(4), 338, 336(3), 340(2), 345(2) and 61(2) of the Bharatiya Nyaya Sanhita, 2023 in connection with allegations concerning forged documents, bogus transactions and fraudulent availment/passing of input tax credit. The applicant argued that the allegations were already governed by the special statutory framework of the CGST Act, 2017 and UPGST Act, 2017, particularly Section 132 of the CGST Act. He further relied on an earlier GST adjudication order dated 06.06.2024, under which he claimed to have been exonerated in relation to M/s Multicom International.
The applicant relied upon CBI v. State of Rajasthan, Sharat Babu Digumarti v. Government (NCT of Delhi), Dilawar Singh v. Parvinder Singh, Jasbir Singh v. Vipin Kumar Jaggi and Radheshyam Kejriwal v. State of West Bengal. The opposite parties opposed the application and alleged a serious economic offence involving bogus transactions and fake ITC. They relied, inter alia, upon State of West Bengal v. Naryan K. Patodia, Govind Enterprises v. State of U.P. and Radhika Agarwal v. Union of India.
