SANJEEV KUMAR GUPTA Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) In this petition under Section 438 of the Code of Criminal procedure/1973 (for short CRIMINAL PROCEDURE CODE.)/ the petitioner is seeking pre-arrest bail, in the case under Section 135 of the Customs Act/ 1962 (for short the Act), inter alia, pleading that he is innocent/ no offence against him is made out and that he apprehends unnecessary harassment. Respondent had opposed the same on the ground that offences committed are serious and grave which require petitioner's custodial interrogation for proper investigations.

(2.) It is pleaded that the pentioner is doing business of export of garments under name and style of M/s.SRFM Exports (India)/ M/s.Suneja International (India) and M/s. Jai Shree Exports (India); that total remittances earned by him in the last two years are more than rupees four crores and remittances of about US $ 1/50/000 still awaited; that he had been getting duty draw back in accordance with law, he has nothing to do with any fictitious firm and that no of fence is made out against him under Section 135 of the Act, as there is no allegation of evasion of duty. It is alleged that from the search of his business premises and home nothing incrimina- ting was recovered; that he is suffering from several lethal illnesses, namely ischemic heart disease, diabetes and hypertension for which he is undergoing treatment at Escorts Hospital and Apollo Hospitals. It is further pleaded that statements of Sita Ram, Sunil Kumar, Laxmi Narayan, Bhagwati Prasad, Yashpal etc., are not admissible against him which they have already retracted and that he joined investigations on umber of dates whenever he was asked.

(3.) Prosecution allegations in brief are: that petitioner floated three fictitious firms through dummy proprietors, namely, (i) Sanjeev Garments (India); (ii) Mandra Exports (India); and (iii) M/s. Future, to export over-invoiced garments and fraudulently claim duty draw back benefits from the Government; that he has already obtained duty draw back-to the time of Rs. 2.07 crores showing exports by these dummy firms. Rs. 12.9 crores is yet to be received from abroad for the export shown by these firms. The petitioner used to get blank "self" cheques and other documents signed from such dummy persons and used to withdraw duty draw back amount from these accounts himself. During investigations Mr. VijayChauhan and Mukesh Sharma, proprietors of Shashi Hi-Fashions Garments and V.T.S.\ Exports (India) also named the petitioner alleging that he had fraudulently ob- tained duty draw back of Rs. 63.61 and Rs. 55 lacs respectively by showing exports in the name of these two firms. It is alleged that a sum of Rs. 17.60 crores is yet to be recovered from abroad in respect to the various firms qua which petitioner has already obtained duty draw back to the tune of Rs. 4.11 crores. It is further alleged that the investigations are still in progress and the amount of duty draw back availed fraudulently and the remittances from foreign countries are likely to increase substantially. Yashpal, co-accused in the case is in custody since 1 2/08/2000; statements of Ms. Kalpana Ghosh and several other witnesses including the supplier of sub-standard goods at Jaipur show that the petitioner is main accused. The grant of pre-arrest bail to the petitioner is strongly opposed.