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On Friday, July 26, the Supreme Court of India granted bail to Ashutosh Garg, who has been accused in a high-profile ₹1,000 crore GST input fraud case. The decision by the apex court marks a significant development in the ongoing investigation into one of the largest cases of Goods and Services Tax (GST) fraud in India’s history.
Ashutosh Garg, a prominent businessman, was arrested last year on charges of orchestrating a massive GST input tax credit scam. The fraud involved the alleged creation of fictitious invoices and companies to illegally claim GST input credits, defrauding the exchequer of approximately ₹1,000 crore. Garg’s arrest was part of a broader crackdown by the Enforcement Directorate (ED) and the Goods and Services Tax Intelligence (GSTI) department aimed at tackling financial irregularities and tax evasion.
The Supreme Court’s decision to grant bail came after Garg’s legal team argued that he had been in custody for an extended period and that there was no substantial evidence directly linking him to the alleged fraudulent activities. The court considered these arguments and also took into account Garg’s cooperation with the investigation and the absence of any imminent risk of tampering with evidence.
The bail is granted under specific conditions, including the requirement for Garg to appear before the investigating authorities as and when summoned and to not leave the country without the court’s permission. The court also instructed Garg to provide a substantial bond as part of the bail conditions. The case remains under active scrutiny as authorities continue their efforts to unravel the full extent of the alleged fraud.