'Influential Person': State Opposes Journalist Mahesh Langa's Bail Plea In Alleged Case Of GST Fraud, Gujarat HC Reserves Order

Opposing journalist Mahesh Langa's regular bail in an alleged case of GST fraud including the fraudulent availing of Input Tax Credit and forgery of documents registered by Rajkot police, the State told the Gujarat High Court on Tuesday that Langa is an influential person and that he has been booked in another FIR for theft of highly confidential government documents. After hearing the submissions by all the parties Justice MR Mengdey while reserving its verdict said, “For orders.” During the hearing on Tuesday, Additional Advocate General Mitesh Amin said, "So far as Langa is concerned he is not proprietor of purchaser firm DA Enterprise. He is not a partner also. But the material of investigation relates that firm was originally operated by members of this family thereafter at his instance he communicated to some witness that this is not the way of functioning and one has to think big for doing business. As per his wish the constitution of firm was changed and person who was causing hurdle to petitioner was removed and a person of his choice was placed. There are statements of persons in whose name the firm is run who have categorically stated that he used to all this illegal activities of purchasing invoices as per their statement. It was brought to the notice of petitioner by Chartered Accountant that whatever you are doing is not correct...answer given by Langa to CA (as given in CA's statement) is come what may I will handle everything. So that shows he is a person with influence".Amin said that Langa is a person who can build his influence, adding that there is an FIR filed against him where the allegations are that from his house some confidential papers were recovered and it was "found that these documents relates to him having stolen them from a government body"."So influence is not only exzhibited by CA but this FIR registered against him that he stole confidential documents from a government body. In this FIR where public servants are also involved is also under investigation as there is application of Prevention of Corruption Act," Amin argued. Amin said that to decide these aspects and considering the influence of Langa, would require a thorough investigation. He lastly contended that Langa is a journalist and not a trader or a partner which is a "separate class", and hence Langa's petition needs a different consideration as compared to other petitioners who were before the court. With respect to allegation of his influence, Langa's counsel submitted that first offence was registered by DCB crime Ahmedabad where they visited his house and recovered certain pages of documents of Gujarat Maritime Board. He argued that Langa is a journalist and he had disclosed that those documents were provided to him by "Essar company which is seeking permission to establish a port at Jamnagar and Adani Limited is coming in the way". He said that these documents pertained to "Gujarat Maritime Board and Adani Limited" arguing that "before the May 2024 elections Adani wanted a policy from state of Gujarat for renewal of lease for certain ports which is coming to end in 2031". He submitted that on these documents he has "claimed privacy" and said that he has disclosed that Essar had given these documents to him.His counsel also said creating fake bills is not forgery or cheating relying on the judgements of the High Court. He submitted that without an actual exchange of good and physical the delivery of goods, the ITC can be availed or passed on; if still the offence is considered under the provisions of GST, the state can invoke GST, file another proceeding and go ahead. Lastly, the counsel submitted that Langa's passport is with the state and witness statements have been taken. Langa has sought for regular bail (before chargesheet) after the dismissal of regular bail application by the District and Sessions Court, Rajkot. The complaint was filed with the Police Station, Rajkot regarding the alleged evasion of GST by the Superintendent of CGST, Anti Evasion Section, HQ, GST Commissionerate, Rajkot. 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. 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.The FIR has been registered by Rajkot Police Station...

'Influential Person': State Opposes Journalist Mahesh Langa's Bail Plea In Alleged Case Of GST Fraud, Gujarat HC Reserves Order

Lovina B Thakkar

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