{"id":9579,"date":"2026-06-12T17:49:25","date_gmt":"2026-06-12T12:19:25","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=9579"},"modified":"2026-06-12T17:49:25","modified_gmt":"2026-06-12T12:19:25","slug":"hc-grants-bail-where-gst-fraud-allegations-rested-only-on-confessional-statements","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/hc-grants-bail-where-gst-fraud-allegations-rested-only-on-confessional-statements","title":{"rendered":"HC Grants Bail Where GST Fraud Allegations Rested Only on Confessional Statements"},"content":{"rendered":"<pre><strong>Case Details: <a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/gst\/101010000000420961\/bail-granted-as-no-incriminating-material-was-recovered-and-implication-rested-solely-on-confessions-and-statements-hc\">Pradeep Goyal vs. State of U.P. (2026) 43 Centax 29 (All.)<\/a><\/strong><\/pre>\n<h2><em>Judiciary and Counsel Details<\/em><\/h2>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li><strong>Ashutosh Srivastava<\/strong>, J.<\/li>\n<li><strong>S\/Shri Raza Abbas<\/strong>, Sr. Adv., <strong>Syed Hasan<\/strong> &amp; <strong>Mujtaba Isfahani<\/strong>, for the Applicant.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2><em>Facts of the Case<\/em><\/h2>\n<p>The applicants-assessee sought bail in connection with First Information Reports (FIRs) alleging misuse of Permanent Account Number (PAN) details for obtaining GST registrations and the creation of bogus firms. They were not named in the FIRs. During the investigation, several individuals were arrested, and devices, SIM cards, laptops, and GST-related billing materials were recovered. Following these events, certain co-accused persons named the applicants. A raid conducted at the applicants\u2019 residence did not result in the recovery of any incriminating material. Subsequently, charge-sheets were filed. The applicants, who remained in custody, sought bail. The matter was then placed before the High Court.<\/p>\n<h2><em>High Court Held<\/em><\/h2>\n<p>The High Court held that confessional statements made before the police are per se inadmissible and cannot be relied upon to implicate co-accused persons for the purpose of deciding the bail application. It further observed that statements recorded under Section 161 of the Code of Criminal Procedure, 1973, could not be relied upon for such purpose. The Court noted that no incriminating material had been recovered from the applicants. The prosecution&#8217;s case against the applicants primarily rested on alleged confessional statements and statements of co-accused. Considering that charge-sheets had already been filed, the Court observed that the prosecution&#8217;s case was document-based. Additionally, given the nature of the allegations and the punishment involved, the Court held that continued custody was unwarranted. Consequently, bail was granted to the applicants.<\/p>\n<h2><em>List of Cases Cited<\/em><\/h2>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Indresh Kumar v. State of Uttar Pradesh \u2014 2022 Livelaw (SC) 610 \u2014 Referred [Para 12]<\/li>\n<li>P. Krishna Mohan Reddy v. State of Andhra Pradesh \u2014 2025 SCC Online SC 1157 \u2014 Referred [Para 13]<\/li>\n<li>Salim Khan v. Sanjai Singh \u2014 (2002) 9 SCC 670 \u2014 Referred [Para 12]<\/li>\n<li>State of U.P. v. Amarmani Tripathi \u2014 (2005) 8 SCC 21 \u2014 Referred [Para 12]<\/li>\n<li><a href=\"https:\/\/www.centaxonline.com\/search?searchData=(2025)%2030%20Centax%2057%20(S.C.)&amp;itemType=AP\">Vineet Jain v. Union of India<\/a> \u2014 (2025) 30 Centax 57 (S.C.) = 2025 (99) G.S.T.L. 129 (S.C.) \u2014 Referred [Para 15]<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Case Details: Pradeep Goyal vs. State of U.P. (2026) 43 Centax 29&hellip;<\/p>\n","protected":false},"author":19,"featured_media":9586,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37,60,189],"tags":[],"class_list":["post-9579","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-gst","category-news","category-gst-case-chronicles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>HC Grants Bail Where GST Fraud Allegations Rested Only on Confessional Statements<\/title>\n<meta name=\"description\" content=\"HC granted bail as no incriminating material was recovered and the case relied mainly on confessions and co-accused statements.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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