Vikas Bajoria S/O Shri Suresh Kumar Bajoria vs. Union Of INDIA

Facts

The petitioner, Vikas Bajoria, is seeking bail in connection with a case registered under Section 132(1) of the Rajasthan Goods and Services Tax Act, 2017. The petitioner was arrested on November 8, 2022. The respondent, Union of India through the Director General of GST Intelligence, stated that the alleged tax evasion amounted to Rs. 43.93 crores, which has since been deposited by the recipient(s). The petitioner's counsel highlighted that the investigation is complete, a charge sheet is about to be filed, the offense is compoundable, and the maximum sentence is five years. The respondent argued that the deposition of evaded tax indicates culpability and that economic offenses are a distinct class, not deserving of bail indulgence.

Held

The Court allowed the bail application, enlarging the petitioner on bail. The Court noted that the petitioner had been in custody since November 8, 2022, the investigation against him was complete, and the alleged tax evasion amount had been deposited by the recipient(s) with the revenue. While acknowledging the judgments relied upon by the respondent, the Court found it just and proper to grant bail in view of the facts and circumstances and the recent law laid down by the Supreme Court in Ratnambar Kaushik. The Court directed the petitioner to furnish a personal bond of Rs. 1,00,000/- with two sureties of Rs. 50,000/- each to the satisfaction of the trial court, ensuring compliance with Section 437(3) Cr.P.C. Additionally, the petitioner was directed to deposit his passport with the trial court and not travel abroad without prior permission. The Court explicitly stated it was not expressing any opinion on the merits of the case.

Key Issues

1. Whether the petitioner is entitled to be released on bail under Section 439 Cr.P.C. in connection with the alleged offence under Section 132(1) of the Rajasthan Goods and Services Tax Act, 2017, considering the stage of investigation and the amount of tax allegedly evaded? Petitioner's Arguments: The petitioner argued that he has been falsely implicated, the entire amount of alleged tax evasion has been deposited by the recipients, his custody period is substantial (since November 8, 2022), the investigation is complete with a charge sheet imminent, the offence is compoundable, and the maximum sentence is five years. Reliance was placed on Supreme Court judgments in Ratnambar Kaushik and Stender Kumar Antil. Respondent's Arguments: The respondent contended that the deposition of evaded tax is evidence of the petitioner's culpability, that economic offenses constitute a class in themselves and do not deserve bail indulgence, and that the charge sheet is being filed on the last permissible date. Reliance was placed on several Supreme Court judgments including Nimmagadda Prasad and Serious Fraud Investigation Office vs. Nittin Johari.