Case Details: Santosh Wadhwani vs. Directorate General of Goods and Service Tax Intelligence, Raipur (2026) 42 Centax 76 (Chhattisgarh)
Judiciary and Counsel Details
- Ramesh Sinha, CJ.
- S/Shri Manoj Paranjpe, Sr. Adv., Siddhanth Dubey & Anmol Verma, Advs., for the Applicant.
- Shri Maneesh Sharma, Adv., for the Respondent.
Facts of the Case
The applicant was arrested in connection with the alleged fraudulent availment of input tax credit without actual supply through four entities in Raipur. Prior to arrest, summons were issued, and the applicant furnished e-way bills, invoices, bank statements and a master Excel sheet. The bank accounts of the applicant were attached, and a writ petition against adverse steps was pending. Thereafter, the applicant was remanded to judicial custody and the bail application before the Chief Judicial Magistrate (CJM) was rejected. The allegations were based on documentary material, and a complaint had already been filed by the department. The matter was accordingly placed before the High Court
High Court Held
The High Court held that the allegations against the applicant were founded on documentary evidence which had already been seized by the department. It was observed that the investigation of the applicant was substantially complete, and no further custodial interrogation was required. The Court further noted that the maximum punishment prescribed under Section 132 of the CGST Act and Chhattisgarh GST Act was up to five years, the offences were compoundable, and no specific risk of tampering with evidence or influencing witnesses was shown by the prosecution. Considering the continued custody of the applicant, overall facts of the case and likelihood of delay in trial, the Court held that regular bail was justified and accordingly allowed the bail application subject to bond conditions.
