Penal provisions of the CGST Act prevails over Cr.PC for GST frauds

Last updated: 04 February 2021

Court :
Bombay High Court

Brief :
The Hon'ble Bombay High Court in Tejas Pravin Dugad v. Union of India [Order No. Criminal Writ Petition No.1715 to 1718 of 2020, decided on January 15, 2021] dismissed the writ petition filed by Directors of M/s. Ganraj Ispat Private Limited ("Company"), challenging proceedings initiated by Department alleging fraudulent availment of input tax credit ("ITC") on the basis of fake invoice and held that special provisions under the Central Goods and Services Tax Act, 2017 ("CGST Act") prevail over the provisions of the Code of Criminal Procedure, 1973 ("Cr.PC") and it cannot be said that all the provisions like Sections 154 and 173 of the Cr.PC need to be followed for prosecution under the CGST Act.

Citation :
[Order No. Criminal Writ Petition No.1715 to 1718 of 2020, decided on January 15, 2021