CUTTACK: The Orissa High Court has ruled that detention of an accused is not required when investigation in the case has been completed and maximum punishment for the offence for which he has been charged is five years. The Court gave the ruling while granting bail to Atul Bansal, the alleged kingpin of the multi-crore GST input tax credit scam.

Under the GST system, traders are allowed to claim input tax credit, credit for taxes paid on purchase. The State GST enforcement wing had arrested Bansal on October 25, 2019. Subsequently, the GST authorities had completed investigation and submitted in the trial court prosecution report indicating that Bansal was “the master mind behind the GST fraud committed in the name of 20 fictitious business entities.”

Bansal, a resident of Rourkela, was charged for offence cognisable under the GST Act, maximum punishment for which was five years. His bail application was taken up for final hearing on March 6.
The counsel of Bansal expected bail on the ground of completion of investigation and submission of prosecution report in the trial court. The counsel for the GST authorities appealed for rejection of the bail plea “in view of the amount involved in the offence which is to the tune of Rs 266 crore.”

After considering submissions of both sides, the single judge bench of Justice BP Routray ruled that, “When the investigation has already been completed, I do not feel any requirement of further detention of the petitioner inside the custody keeping in view the term of maximum punishment vis-a-vis the period of detention.”

“Accordingly, it is directed that the petitioner be released on bail in the case on such terms and conditions to be fixed by the trial court including the conditions that the petitioner shall not leave the jurisdiction of Sundargarh district without prior permission of the court and he shall not dissuade any witness directly or indirectly by way of inducement, threat or promise acquainted with the facts of the case from disclosing such facts before the court or tamper with the evidence while on bail,” Justice Routray said while disposing the bail petition. Investigations had revealed that the 20 fictitious and dummy firms were created in the name of housewives, taxi drivers, daily wage labourers, plumbers and unemployed youth.