CENTRAL EXCISE ACT, 1944

Section 9

Grant of Anticipatory Bail - Excise duty evasion - Assessee intended to take undue advantage -

Assessee moved this application for grant of anticipatory bail. It was submitted that the matter pertains to the year 2016 and on the pretext of further investigation, assessee was threatened to be arrested. It was submitted that false allegations have been levelled against the assessee. No illegal activity was being run at the residential premises or any other premises by assessee. It was submitted that alleged evasion of the taxes was directly deposited in the account of department and the said alleged assessment was without any basis and the alleged unregistered unit was not indulged in the manufacturing activities for the relevant period. It was thus pleaded that he be granted anticipatory bail in the present matter. Held: Assessee was alleged to be involved in a duty evasion case of Rs. 150 crores. Even during the course of investigation, it was informed that he was not forthcoming on certain vital issues of investigation and he was giving evasive replies to the query of the investigating agency. It was informed by department that assessee was playing hide and seek and intended to take undue benefit of the fact that after five years of the commencement of investigation as investigation commenced in September, 2015, the department would not be in a position to take the investigation to a logical conclusion. Considering the nature of allegations involved, this was not a fit case to grant anticipatory bail to assessee.

Relied:Y.S. Jagan Mohan Reddy v. Central Bureau of Investigation 2013 SCR 547 State of Andhra Pradesh v. Bimal Krishna Kundu & Ors. (1997) 8 SCC 104 State Rep. By The C.B.I. v. Anil Sharma (1997) 7 SCC 187 State of Gujarat v. Shri Mohanlal Jitamalji Porwal & Anr. (1987) 2 SCC 364 : 1987 TaxPub(EX) 0366 (SC)

REFERRED :

FAVOUR : Against the assessee

A.Y. :

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