Rishabh Yadav vs. State Of U.P.

BAIL/37246/2026HC AllahabadGSTCNR UPHC01611197202626 October 2026Bench: ARUN KUMAR SINGH DESHWAL4 pages
AI SummaryAllowed

Held

The Court granted bail to the applicant. The Court considered that the applicant is a drug license holder and has provided documents related to the purchase and sale of codeine-based cough syrup, including e-way bills for transportation. The recovery of a few bottles with similar batch numbers in Tripura and Bihar, especially when approximately 90,000 bottles of the same batch number were accounted for, was not considered sufficient to establish the applicant's involvement in illegal sale or transportation. The Court noted that the charge-sheet had been filed and there was no other significant material against the applicant regarding illegal activities. Citing the Apex Court's judgment in Kapil Wadhawan vs. Central Bureau of Investigation and this Court's guidelines in Maya Tiwari Vs. State of U.P., the Court, without commenting on the merits, opined that the applicant was entitled to bail. The applicant was released on furnishing a personal bond and two sureties, with conditions to cooperate in the trial, not tamper with evidence, not commit further crimes, and attend court proceedings. The trial court was directed to send the release order through the Bail Order Management System for early release.

Facts

The applicant, Rishabh Yadav, proprietor of Urmila Pharmaceuticals, sought bail in a case involving alleged illegal purchase and transportation of 2,37,000 bottles of Phensedyl cough syrup over three years. The applicant purchased the syrup from Saili Traders and sold it to five firms, which were later found to be non-existent despite holding drug licenses. Recoveries of similar batch numbers of cough syrup were made in Tripura and Bihar during illegal transportation. The applicant's involvement was primarily based on the statement of a manager of a vehicle owner, who claimed incorrect truck numbers were mentioned in GST bills. The applicant, who has no criminal history, has been in jail since April 9, 2026, and claims to have transported the syrup via 24 vehicles with e-way bills, supported by sale invoices. The charge-sheet has been filed.

Key Issues

1. Whether the applicant is entitled to be released on bail in Case Crime No. 235 of 2025, under Sections 8/21/26(d)/29 N.D.P.S. Act, and Section 61(2), 318(4), 338, 336(3), 340(2), B.N.S., Police Station Kotwali, District Varanasi, considering the evidence on record and the applicant's role. Petitioner's arguments: The applicant is a licensed drug dealer who has produced documents for the purchase and sale of cough syrup, including e-way bills. The implication is based on the statement of a manager regarding only two vehicles, ignoring 22 others with e-way bills. Recoveries of a few bottles from Tripura and Bihar do not conclusively link the applicant, especially when about 90,000 bottles of the same batch number are accounted for. The applicant has no criminal history, the charge-sheet is filed, and custodial interrogation is not required. The applicant has been in jail since April 9, 2026, and will cooperate with the trial. Revenue's arguments: The applicant purchased a large quantity of Phensedyl cough syrup and allegedly transported it to five non-existent firms. The manager of a truck owner stated that his firm's truck number was incorrectly mentioned in the GST bill and that they never transported medicines from the applicant's firm. Therefore, the applicant is not entitled to bail.

AI-generated summary — verify with the full judgment below

HIGH COURT OF JUDICATURE AT ALLAHABAD CRIMINAL MISC. BAIL APPLICATION No. - 37246 of 2026 Court No. - 66 HON'BLE ARUN KUMAR SINGH DESHWAL, J.

1.

Heard Sri Parth Chaubey, Advocate holding brief of Sri Sanjay Kumar Jaiswal, learned counsel for the applicant, Sri Nitish Kumar Srivastava, learned A.G.A. for the State and perused the record.

2.

The instant bail application has been filed with a prayer to release the applicant on bail in Case Crime No. 235 of 2025, under Sections 8/21/26(d)/29 N.D.P.S. Act, and Section 61(2), 318(4), 338, 336(3), 340(2), B.N.S., Police Station Kotwali, District Varanasi, during the pendency of trial.

3.

The contention of learned counsel for the applicant is that the applicant is the proprietor of Urmila Pharmaceuticals, which is having a licence under the Drugs and Cosmetics Act as a dealer to stock, purchase and transport medicines and other drugs. It is further submitted that the allegation against the applicant is that he had purchased 2,37,000 bottles of Phensedyl cough syrup during the last three years, i.e., 2,19,000 bottles in 2023-2024, 8,000 bottles in 2024-2025 and 10,000 bottles in 2025-2026, from Saili Traders, which is a propri

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