The main legal point established is the consideration of anticipatory bail in cases registered under the GST Act and the influence of previous case precedents on the court's decision.

JUDGMENT

Virender Singh, J. - This is the first application under section 438 of the Cr.P.C. seeking anticipatory bail in crime no.23/2020 registered under section 132(1)(a)(i) of the Goods and Services Tax Act (hereinafter referred to as "GST Act"), Ss. 409, 467, 471, 120-B of the IPC by the Department of Revenue Intelligence and Directorate General of Goods and Services Tax Intelligence Central Excise Office, District Indore (here-in-after referred to as the 'Department').

2. The learned Senior Counsel for the petitioner began with the arguments that the only fault of the petitioner is that he is the landlord of the premises where his tenant, who runs a factory, allegedly evaded the tax by clandestine sale of Pan Masala. The petitioner is neither a Partner of his tenant M/s Vishnu Essence nor is concerned with it in any other way. But he has been portrayed as the only responsible person for the alleged crimes committed by his tenant, while no documents have been produced by the department to prove the same.

3. In reply, learned Additional Solicitor General submitted that the petitioner is the Director of a Media Company, which publishes a daily newspaper in the name and style of "Dabang Dunia". Several vehicles incriminated in the clandestine removal/transportation of Pan Masala endorsed the Dabang Duniya press sticker and drivers of these vehicles were carrying Identity Cards of Dabang Dunia as provided to them by the transporter 'Ashoo RoadLines'. Dummy director of M/s Elora tobacco Co. Ltd Mr. Shayam Khemani also had Press ID card of Dabang Dunia. This shows that the petitioner was well involved in the alleged tax evasion. Apart from that, statements of the co-accused persons recorded under Section 70 of G.S.T. Act have also been referred by the learned ASG wherein the authors have disclosed that actually the petitioner is the sole Owner/Proprietor/In-charge of the entire business of M/s Vishnu Essence or Ellora Tobacco Co. Ltd or M/s. AAA Enterprises or M/s Namrata Impacts and so on. He is the kingpin of entire empire of business or trade of all these firms. He had effective control over their factory operations and is the ultimate financial beneficiary in this illicit Pan Masala trade. He is the mastermind or the key accused of the alleged tax evasion, which otherwise runs in crores of rupees. Therefore, he is not entitled for bail.

4. To counter the argument in respect of statements recorded under Section 70 of the Act, the learned Senior Counsel for the petitioner pointed out that immediately after getting an opportunity, the co-accused persons have retracted their statements, which were otherwise recorded involuntarily under the threat and pressure of the officials of the department, therefore, they cannot be relied upon at this stage. Otherwise also, looking at the provisions of Section 136 of the Act itself, much weight can not be attached to such statements during the life time or availability of the author. Lastly, it is contented that these statements didn't lead to any recovery. No supporting evidence either documentary or oral could be collected during investigation. Therefore, on the basis of such statements, no adverse inference can be drawn against the petitioner at least at this stage.

5. A significant amount of time has been spent by both the parties to convince the Court or to counter that the procedure prescribed in Chapter XII of the CR.P.C. has not been complied with or followed in the present case, therefore, the very initiation of the proceeding is void and contrary to the law.

6. It is not disputed that the petitioner is one of the Director of media company Dabang Dunia but it is contended that they are neither concerned nor responsible for he unauthorized use of any sticker or ID card by any vehicle or driver implicated in the clandestine transportation of any taxable goods.

7. Pendency of investigation is also taken as a ground to press for dismissal of the petition, which is countered on the grou