Section 132 of the CGST Act, 2017 — Bail –– The applicant sought regular bail. The applicant was arrested on 04/02/2020. It is alleged that the applicant and his company wrongly availed ITC on the basis of fake transaction of sales and supply which never took place. The counsel for the applicant submitted that the allegations against the applicant are based on certain material which were never disclosed nor explanation of the applicant was ever obtained. The applicant, after his arrest and for a period of 30 days, when he remained in custody, no further interrogation took place from the applicant which showed that his custodial interrogation was never required. Even after grant of temporary bail, there is no specific allegation against the applicant that he has misused his liberty either by tampering with prosecution witnesses or attempting to flee away from justice or not extending co-operation in the matter of investigation. The court observed that in absence of there being specific material that the applicant had made any attempt to tamper with the prosecution witnesses or in any manner indulged in adversely affecting investigation, keeping him in jail would serve any purpose and there are no serious allegations of his misusing liberty while on interim bail.

Held that:- The Hon’ble High Court allowed the application and granted regular bail subject to certain conditions.