GST Evasion: Rajasthan HC rejects Bail application in ITC Fraud Case [Read Order]

The Rajasthan High Court has rejected bail application in the Input Tax Credit ( ITC ) Fraud Case.

The Petitioner has filed the application under Section 439 code of Criminal procedure,1973 seeking regular bail in criminal complaint pending before the court of Chief Metropolitan Magistrate, (Economic Offences) Jaipur Mahanagar, for offences under Section 132(1)(b)(c)(d),(f)(i) and (1) of Central Goods and Services Tax Act 2017 punishable under Section 132 (1)(i) and (iv) of Central Goods and Services Tax Act 2017 read with Section 132(5) of Central Goods and Services Tax Act 2017.

The Standing Counsel for GST has submitted that all the accused had created 35 fake firms and after making fake entries had issued invoices involving tax amount of more than 66.81 crores. The firms were misused for evading GST input taxes by the accused. The fake firms were created in the State of Jammu and Kashmir, West Bengal, Gujarat, Assam, Telangana, Uttar Pradesh and Rajasthan.

While rejecting the bail application, a single judge bench of Justice Sabina said that, “Keeping in view the seriousness of allegations levelled against the petitioner, no ground of bail to her is made out”.