SHAILESH RAJPAL Vs. COMMISSIONER

JUDGEMENT

(1.) This is first application filed under Section 439 of the Cr.P.C. Applicant Shailesh Rajpal was arrested on 17/9/2019 in connection with Crime No.01/2019 registered at Commissioner, Central Goods and Service Tax, G.S.T. Bhawan, Jabalpur (M.P.) for the offences punishable under Sections 132(1)(d) of Central Goods and Service Tax Act, 2017 and Sections 471 and 120-B of the IPC.

(2.) As per the prosecution case, an intelligence was developed by the officers of Prevention Branch, Central GST and Central Excise Commissionerate, Jabalpur which reveals that M/s Sai Sun, a Proprietorship Firm engaged in supply of services of recruitment and supply of Manpower services, cleaning services, housekeeping services etc. to its various clients (many Private Limited companies, Banks, Ordnance Factory, municipal corporation, Tata Consultancy, Express Private Limited, E-Com Express, Instakarts Services Private Limited etc.) has not paid GST since 1st July 2017 against the payments received by the firm in accordance to the GST law and procedure. It was also revealed that the firm has been registered under GST but it neither filed any GST return nor paid any GST. Applicant Sailesh Rajpal has been running various companies/firms viz M/s Sai sun outsourcing Service Private Limited, M/s Seven Eye IT Solutions Private Limited, M/s Happiest Job consultants Limited etc. from the same premises. On that, a search was conducted at the office premises of M/s Sai Sun on 12/09/2019 by the offices of Headquarters-Preventive Branch Central GST & Central Excise Jabalpur Commissionerate. During the search, bills, invoices books of accounts, contracts/agreements, printouts of the computerized tally data were recovered. On examining these documents and from the statement of the applicant himself and other persons, it was revealed that M/s Sai Sun and M/s Sai Sun Outsourcing Services Private Limited have collected the Service tax and GST from their clients on gross value but did not pay/short paid the same to the government exchequer. Turn over of M/s Sai Sun (Prop.Shri Shailesh Rajpal, present applicant) July 2017 to March 2018, was Rs.9,42,26,656/- on which GST liability was Rs.1,69,60,798/- and the turnover of M/s Sai Sun during 2018-19 was Rs.7,88,84,700/- on which GST liability was Rs 1,41,99,246/-which was completely suppressed by the applicant and in this regard, he did not file any GST return.

(3.) Likewise, Turnover of M/s Sai Sun Outsourcing Services Private Limited from July 2017 to March 2018 was Rs 174,26, 61,455/- (Rs 174.27 crores) on which GST liability amounted to Rs.31,36,79,062 /-. While turnover shown in GST returns was Rs. 79,01,25,667/- and GST paid Rs. 14,22,23,285/-, thus applicant evaded the tax amount worth Rs. 17,14,55,777/-. The total liability of the applicant towards short payment of GST, interest payable on it and penalty payable under section 122 of GST Act is Rs.62,08,48,909/-.