The Special Economic Offence Court of Jaipur, Rajasthan, has granted bail to Ghasi Lal Chaudhary in connection with the alleged Rs. 700 crore GST evasion case.
The bench of Judge Sunil Kumar Meena, had reserved the order on February 27, 2025, and pronounced the bail decision on February 28.
Rs. 700 Crore GST Evasion Case: Key Developments
The Directorate General of GST Intelligence (DGGI), Jaipur, uncovered a massive GST fraud, seizing evidence of Rs. 700 crore tax evasion during extensive raids at 15 locations across Rajasthan, including Bhilwara, Jaipur, Udaipur, and Sikar. The raids resulted in the arrest of seven individuals, including Ghasi Lal Chaudhary from Jaipur, Kesardev Sharma, and scrap dealer Arun Jindal, on February 19, 2025.
DGGI’s investigation revealed records of 13 lakh tons of iron and steel goods being supplied without tax compliance, with an estimated market value of Rs. 4,000 crore. Authorities suspect that the GST evasion network extends beyond Rajasthan, potentially operating in Haryana and Punjab through fake companies to evade taxes.
Defense Argument in GST Evasion Case
During the bail hearing, Advocate Sumit Gehlot, representing Ghasi Lal Chaudhary, contended that his client had been falsely implicated, with no incriminating evidence found during DGGI’s searches of his office and residence.
Gehlot emphasized that his client had no direct links to the main accused—Mahavir Trading, Rumjan Sarajuddin Shah, Manoj Vijay, Naveen Yadav, and Rajeev Yadav—and was neither a director, partner, nor beneficiary in any of their firms. The only evidence cited against Ghasi Lal was an Excel sheet allegedly recovered from the main accused’s premises, listing bill details from September 2023 to February 2025 related to his firm, Nirman Infra Pvt. Ltd. However, the defense argued that DGGI itself admitted the document was provided by an unidentified informer, raising doubts about its credibility.
Court’s Decision and Ongoing Investigation
Despite DGGI’s opposition, which claimed that the accused were part of a larger GST fraud network, the Jaipur Special Economic Offence Court granted bail to Ghasi Lal Chaudhary. The investigation into the Rs. 700 crore GST scam is still ongoing as authorities delve deeper into the tax evasion racket that has raised concerns in the iron and steel sector.
Stay tuned for the latest updates on the GST fraud case, tax evasion news, and financial crime investigations in India.
