GST Evasion: Madhya Pradesh HC releases Kishore Wadhwani on furnishing a personal bond of Rs.10 Lakhs [Read Order]

Madhya Pradesh High Court - Kishore Wadhwani - personal bond - GST - Taxscan

The Madhya Pradesh High Court directed the respondent authority to release Director of Dabang Dunia,  Kishore Wadhwani on furnishing a personal bond of Rs.10 Lakhs.

The petitioner, Kishore Wadhwani is Director of a Media Company, which publishes a daily newspaper in the name and style of “Dabang Dunia”. Several vehicles found indulged in clandestine removal or transportation of Pan Masala were having stickers of Dabang Dunia press and drivers of these vehicles were found carrying Identity Cards of Dabang Dunia. This shows that the petitioner was well involved in the alleged tax evasion.

Apart from that, statements of the co-accused persons recorded under Section 70 of the GST Act wherein the authors have disclosed that actually the petitioner is the whole sole owner of the entire business of M/s Vishnu Essence or Ellora Tobacco Co. Ltd or M/s. AAA Enterprises or M/s Namrata Impacts and so on.

The petitioner contended that the petitioner began with the arguments that the only fault of the petitioner is that he is the landlord of the premises where his tenant, who runs a factory, allegedly evaded the tax by clandestine sale of Pan Masala.

It was further contended that the petitioner is neither a Partner of his tenant M/s Vishnu Essence nor in any other way concerned with it. But, he has been posed as if he is the only responsible person for whatever has allegedly been done against the law by his tenant.

The counsel for the petitioner prayed that the petitioner is entitled for default bail under Section 167 of the Cr.P.C.

However, the respondent authority contended that the petitioner is the kingpin of the entire empire of business or trade of all these firms.

The single-judge bench of Justice Virender Singh directed that the petitioner Kishore Wadhwani be released from custody on his furnishing a personal bond in the sum of Rs.10 lakh with one solvent surety to the satisfaction of the Trial Court for his appearance before it.

The court further imposed various conditions on the petitioner.

Firstly, the petitioner shall cooperate with the trial and shall not seek unnecessary adjournments on frivolous grounds to protract the trial.

Secondly, the petitioner shall not directly or indirectly allure or make any inducement, threat or promise to the prosecution witnesses, so as to dissuade him from disclosing truth before the Court.

Thirdly, the petitioner shall not commit any offence or involve in any criminal activity;

Fourthly, in case of his involvement in any other criminal activity or breach of any other aforesaid conditions, the bail granted in this case may also be cancelled.

Lastly, the petitioner shall submit his passport, if any, before the Trial Court and shall not leave India without prior permission of this Court.

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