Gujarat High Court Grants Bail To Journalist Mahesh Langa In Cheating Case, To Remain In Custody In Another Case Linked To Alleged GST Fraud

The Gujarat High Court on Thursday (January 9) granted regular bail to journalist Mahesh Langa in a cheating and forgery case registered by the Detection of Crime Branch (DCB) Ahmedabad over allegations of his involvement in a firm which allegedly defrauded government exchequer by availing "bogus" Input Tax Credit.

Justice MR Megdey while pronouncing the order said, "Application is Allowed".

The High Court, in its order, after hearing the arguments from both sides and in view of Supreme Court's decision in Sanjay Chandra v. Central Bureau of Investigation (2012) said, "In the facts and circumstances of the case and considering the nature of the allegations made against the applicant in the FIR, without discussing the evidence in detail, prima facie, this Court is of the opinion that this is a fit case to exercise the discretion and enlarge the applicant on regular bail. Hence, the present application is allowed. The applicant is ordered to be released on regular bail in connection with FIR being C.R.NO. 11191011240257 of 2024 registered with D.C.B. Police Station, Ahmedabad, on executing a personal bond of Rs.10,000/- (Rupees Ten Thousand only) with one surety of the like amount to the satisfaction of the trial Court and subject to the conditions".

The order however states that the authorities will release Langa "only if he is not required in connection with any other offence for the time being".

Langa however will not walk out of jail yet, as he is custody with respect to a second FIR registered by Rajkot Police.

The FIR was registered at DCB Police Station, Ahmedabad for the offences under IPC Sections 420(Cheating and dishonestly inducing delivery of property), 467 (Forgery of valuable security), 468 (Forgery intended to cheat), 471 (Using as genuine a forged document or electronic record) 474 (Possession of forged documents with intent to use as genuine), 120B (Criminal conspiracy).

Langa moved before the High Court after his bail plea was dismissed by the Sessions Court and rejected by the Additional Chief Judicial Magistrate.

The Complaint was filed by the Senior Intelligence Officer, Directorate General of Good and Service Tax Intelligence (DGGI, Ahmedabad Zonal Unit) and was addressed to the Assistant Commissioner of Police Crime Branch, Ahmedabad. It was alleged in the complaint that over 220 firms were created fraudulently across the country to defraud the Government Exchequer by availing and passing forged Input Tax Credit (ITC) and to evade duty by fraudulent means like fake bills and forged documents.

The complaint alleged that upon the investigation, it was found that such firms never existed on registered place of business and fraudulently used for the purpose of obtaining GST registration.

After receiving the complaint, an FIR was registered by the DCB Police station under various IPC sections mentioned above.

The prosecution has alleged that Langa was managing and supervising the affairs of one DA Enterprises which entered into a transaction with a bogus firm named Dhruvi Enterprises and benefited at the cost of the state exchequer. It has been alleged that Langa remained behind the curtain and created DA Enterprises in the name of his brother and his wife, misused his position, entered into transactions with bogus firms.

Langa contended in the plea that not only was there a delay of about 17 months in the registration of FIR, the entire FIR is based on documentary evidence which is already in the possession of investigating officers.

Furthermore, he submitted in the plea that the allegations against him are without any supporting material and high-handed actions are taken against his liberty. He has claimed that that the FIR has been registered under penal offences to bypasses the procedure under the GST Act–a special legislation dealing with GST offencs, which cant be permitted, that to without obtaining requisite sanction.

Case title: Mahesh Langa v State of Gujarat

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