The Delhi High Court on 20 August set aside the anticipatory bail appeal of a man accused of forming bogus GST entities by allegedly misusing the Permanent Account Numbers (PAN) cards and other credentials of unsuspecting individuals.
Justice Girish Kathpalia said that filing bogus GST returns by misusing the Permanent Account Numbers (PAN) and other credentials of innocent people has serious outcomes for victims and “tremendous ramifications” for the country’s economy. The Bench said that-
“Filing of fake GST returns, that too by misusing the PAN Cards and other credentials of innocent public persons, has extremely serious consequences not just on the persons whose particulars have been hacked by the accused persons from different fora, but also has tremendous ramifications on the economy of the country. Grant of anticipatory bail in such offences is not appropriate.”
The matter emerged on the complaint of a woman after she received a notice from the Income Tax Department that her two PAN cards had been linked despite not applying for GST registration and having no clue about the businesses.
She alleged that her PAN card had been misused to fraudulently obtain GST registrations and perform illicit financial activities in her name.
The prosecution alleged that the investigation shows that Raj Kumar, the accused, had generated GST numbers for bogus entities via PAN cards and other credentials of innocent members of the public.
He also said that the bogus GST numbers, as well as associated mobile phone numbers and email IDs, were given to a co-accused for generating fake invoices and e-way bills. It was alleged that clients made payments to him directly.
The Bench determined that custodial interrogation of the accused was justified given the nature of the allegations.
Therefore, the HC rejected anticipatory bail.
| Case Title | Raj Kumar vs. State (NCT of Delhi) |
| Case No. | BAIL APPLN. 1632/2026 |
| For Petitioner | Mr. Wiquar Ahmad |
| For Respondent | Mr. Amit Ahlawat, SI Ravi Rana |
| Delhi High Court | Read Order |
