GST Evasion Allegations Surface after Truck with Defaced Number Plate: Allahabad HC Stays Coercive Action [Read Order]

The Allahabad High Court has stayed coercive action against the allegations of GST ( Goods and Services Tax ) evasion linked to a truck found with a defaced number plate.

The facts is that a criminal case was registered in Agra where police authorities, during an early morning check on 18 August 2022, seized a dumper truck allegedly connected to an attempt at evading Goods and Services Tax (GST).

The vehicle, though empty at the time of seizure, was found with its registration plate smeared with black grease, rendering the number unidentifiable. According to the prosecution, this concealment was aimed at facilitating tax evasion.

During interrogation, the main accused Dharmendra disclosed that the truck belonged to M/s Shakti India Traders, Gwalior, a firm said to be operated by Santosh Mangal, husband of the applicant Smt. Neema Mangal, who is the registered owner of the vehicle.

Based on these disclosures, her name surfaced in the investigation, leading to her implication under serious charges including cheating and forgery under Sections 420, 467, and 468 of the IPC. A charge-sheet was subsequently filed on 13 November 2022, and cognizance of the case was taken on 17 March 2023 by the trial court.

The counsel for the applicant, Adv. Pranshu Gupta argued that no offence is made out against her as the truck was seized in an empty state and the allegations regarding tampered number plates are baseless.

It was further submitted that the proceedings were motivated and aimed at extortion, and that she has no prior criminal record. It was stated that no independent witnesses were associated with the seizure, weakening the credibility of the police version.

The State, however, submitted that the tampering of the vehicle’s registration plate amounted to forgery and deception to evade GST, though it admitted that the vehicle was not carrying goods at the time of the seizure.

After hearing submissions, Justice Ram Manohar Narayan Mishra noted that the matter requires deeper judicial scrutiny and directed issuance of notice to the concerned respondent. The Court has listed the matter for 16 October 2025 and, in the interim, ordered that no coercive action be taken against the applicant.

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