Harish Wadhwani Vs State of Chhattisgarh (Chhattisgarh High Court)
The applicant filed his first anticipatory bail application under Section 482 of the Bharatiya Nagarik Suraksha Sanhita, 2023, seeking protection from arrest in connection with multiple proceedings registered at the Police Station – Commissioner State Goods & Services Tax, Atal Nagar, Naya Raipur, District Raipur, Chhattisgarh. The offences were registered under Sections 69 and 132 of the CGST/CGGST Act, 2017.
Search proceedings were conducted on 20.05.2025 and 21.05.2025 under Section 67 of the CGST Act at the applicant’s office premises based on credible information regarding fraudulent availment of Input Tax Credit (ITC). During the search, documents and business records were examined and seized for investigation concerning suspected tax evasion and wrongful availment of ITC amounting to approximately ₹17.83 crore. Multiple summons were issued between 25.06.2025 and 16.01.2026 to secure the applicant’s presence. The department alleged involvement in suspicious transactions relating to wrongful availment and passing of ITC with certain entities and persons. It was contended that the applicant did not adequately cooperate and sought time to appear while the investigation was at a crucial stage. Further proceedings were initiated based on material collected during search and inquiry.
The applicant submitted that the application was maintainable despite absence of an FIR, as he had a bona fide and imminent apprehension of arrest. He contended that anticipatory bail is a safeguard against arbitrary exercise of arrest powers. According to him, search proceedings yielded no incriminating material, yet successive summons and alleged threats of arrest created a genuine apprehension of custodial action. He further pointed out that on 15.10.2025, the department blocked his ITC amounting to ₹28,87,88,505, followed by a communication alleging wrongful availment of ITC without adjudication, demonstrating escalation from investigation to coercive measures.
