Deepak Kumar Mishra vs. Union Of INDIA

Held

The Court granted regular bail to the applicant, Deepak Kumar Mishra. The decision was primarily based on the fact that similarly situated co-accused, Sarvesh Kumar Pandey and Hemant Kasera, had already been granted bail by the High Court in MCRC No. 4542/2024 and 4586/2024, respectively, for offenses of a similar nature. The Court also took into consideration that the applicant had been in custody since June 21, 2024, and that the charge-sheet had been filed, with the conclusion of the trial likely to take some time. The Court explicitly stated that it was inclined to grant bail without commenting on the merits of the case. The applicant was directed to furnish a personal bond of Rs.1,00,000/- with one solvent surety to the satisfaction of the concerned Court. The bail order was to remain in force until the disposal of the case.

Facts

The applicant, Deepak Kumar Mishra, is seeking regular bail in connection with Crime No.34/FIC/GST/2024-25, registered at Police Station Central GST, Raipur. The prosecution alleges that the applicant, along with others, created false business firms to fraudulently forward Input Tax Credit (ITC). The applicant is accused of operating these firms and availing fraudulent ITC totaling Rs.5.73 Crore, causing a loss to the State Exchequer. The applicant has been in jail since June 21, 2024. The charge-sheet has been filed, and the trial is expected to take time. The applicant argues he has been falsely implicated and that similarly situated individuals have been granted bail.

Key Issues

1. Whether the applicant has made out a case for the grant of regular bail under Section 483 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), considering the allegations of fraudulent Input Tax Credit (ITC) under Sections 132(1)(c) and 132(1)(i)(i) of the C.G.S.T. Act, 2017? Petitioner's Arguments: The applicant contends he has been falsely implicated and that the essential ingredients of the alleged offences under the C.G.S.T. Act are not met. He argues that the FIR was registered as an afterthought and at the behest of larger entities to shield themselves. The applicant highlights that similarly situated individuals, Sarvesh Kumar Pandey and Hemant Kasera, have already been granted bail by this Court in MCRC No. 4542/2024 and 4586/2024, respectively, for similar offenses. He also points out that he has been in custody since June 21, 2024, and the trial is likely to be prolonged. Respondent's Arguments: The respondent opposes the bail application, acknowledging that similarly situated individuals have been granted bail. However, the respondent argues that the applicant is a habitual offender who used a web of fake firms to avail and utilize fake ITC, causing a significant dent to the Government Exchequer. The total fake ITC availed is stated to be Rs.7.30 Crore, and it has all been utilized, indicating a fraud against the State Exchequer rather than mere tax evasion.