Falsely Implicated in GST Fraud: Allahabad HC Grants Bail to Scrap Dealer in Absence of Evidence [Read Order]
Summary: Considering the nature of the supporting evidence and the absence of direct allegations against the applicant in the FIR, a case for bail was made out.
The Allahabad High Court granted bail to an applicant who was accused in a case involving GST evasion, cheating, and forgery. The Court allowed the bail application after noting that the applicant was not named in the FIR and that the only evidence against him was the confessional statement of a co-accused, without any other incriminating material recovered from his possession.
The applicant, Ramesh Patel, is a scrap dealer and proprietor of M/s Kapeshwar Enterprises, and was arrested along with co-accused persons from the office of one Dilshad. The prosecution alleged that a fictitious firm, M/s Sharma Enterprises, was involved in GST evasion, and the applicant was implicated based on his association with Dilshad.
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The applicant's counsel argued that he had been falsely implicated, having no connection with the fake firm and having purchased goods legally through valid bills uploaded on the GST portal.
The dispute arose when the trial court rejected the applicant's bail application, leading him to approach the High Court. The State opposed the bail, arguing the seriousness of the charges.
When the matter reached the High Court, the bench of Justice Ashutosh Srivastava examined the nature of the accusations and the evidence on record. The Court observed that the applicant had no criminal history and that no prima facie case under the alleged sections was made out solely based on a co-accused's statement.
The Court held that, considering the nature of the supporting evidence and the absence of direct allegations against the applicant in the FIR, a case for bail was made out.
The Court ordered the release of the applicant on bail upon his executing a personal bond and two reliable sureties, subject to standard conditions, including cooperation in the trial and non-interference with witnesses.
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