Ripan Jain Vs Additional Directorate General of GST Intelligence (Punjab and Haryana High Court)
Punjab and Haryana High Court has dismissed a petition seeking pre-arrest bail for Ripan Jain in a significant Goods and Services Tax (GST) fraud case. The court found prima facie evidence of Jain’s involvement in creating fictitious firms and utilizing false invoices for trading without actual goods movement, leading to substantial illicit tax benefits. The High Court stressed the necessity of custodial investigation to uncover the full extent of the alleged racket.
The case involves a complaint filed by the Additional Directorate General of GST Intelligence, Ludhiana Zonal Unit, under Sections 132(1)(b) and 132(1)(c) of the Central Goods and Service Tax Act, 2017 (GST Act), along with corresponding provisions of the Punjab Goods and Service Tax Act, 2017. The complaint alleges that Ripan Jain was instrumental in establishing three entities: M/s Disha Enterprises, Sarthak Enterprises, and Kashbhi Accessories Point. These firms were purportedly used to facilitate trading activities purely on the basis of fabricated invoices, devoid of any genuine supply of goods.
Ripan Jain, through his legal counsel, countered these allegations, asserting false implication. He contended that he held no proprietary or partnership interest in the named firms and denied any role in the alleged criminal activities. The petitioner also claimed that no formal complaint had been served upon him or any co-accused. Expressing willingness to cooperate, Jain’s counsel sought protective pre-arrest bail for his client.
