Delhi High Court Grants Bail To Accountant Accused Of Running Fake Firms, Passing Fraudulent ITC On ₹5 Lakh Bond

A Vacation Bench of Justice Vikas Mahajan found this a fit case for regular bail noting 'no previous involvements' with co-accused already released on bail in 2024 in Bail Application No. 1968/2024. Further, from the status report the Delhi High Court inferred that the main beneficiary was MBook Technology (now Metal Book Technologies private Limited) with Mr. Pulkit Baldev and Mr. Aman Tibrewal at its helm.

Metal Book Technology is a digital marketplace connecting metal suppliers producers/scrap dealers.

Based on reports, in January 2021, Navdeep Singh, a director and co-founder of MBook Technology Pvt. Ltd. (now known as Metal Book), was arrested by the Directorate General of GST Intelligence (DGGI) for alleged involvement in a significant GST invoice fraud.

The case stemmed from a Show Cause Notice issued by DGGI to Petitioner, an Accountant alleging involvement in creation of multiple fake firms for fraudulent availment and passing on of ITC.

Petitioner, an Accountant claimed that it was not a beneficiary and rather he was helping Mr. Navdeep Singh only as an Accountant. Contrarily, the DGGI submitted that he was not merely engaged as an Accountant and was actively involved with Mr. Navdeep Singh in running fake firms.

The Delhi High Court noted that Petitioner was in custody since November 21, 2025 and offence under Section 132(1)(c) read with Section 69 of the CGST Act, 2017 was triable by a Magistrate. Further, the Delhi High Court relied on Supreme Court rationale in case of Vineet Jain v. Union of India which emphasized bail in GST fraud cases unless extraordinary circumstances exist.

Thus, the Delhi High Court granted regular bail with a personal bond of Rs. 5,00,000 and two sureties of like amount with certain conditions including

• Petitioner cannot leave India without court's permission.

• Petitioner must inform court/Investigating Officer of any change in address.

• Petitioner must appear before trial court when required.

• Petitioner must provide mobile number to IO and keep it active.

• Petitioner must not tamper with evidence or influence witnesses.

Case Detail: Chinu Kumar vs. Directorate General of Goods and Services Intelligence

For Petitioner: Senior Advocate Sunil Dalal with Advocates Jitin Singhal, Pravesh Bahuguna, Ankit Rana, Shipra Bali, Hemant Talwar, Divyam Garg

For Respondent: Senior Standing Counsel Harpreet Singh

Click here to read the order.