The Additional Sessions Judge, Meerut has rejected the bail application of Somil Agarwal, accused in a Rs.9.32 crore GST theft case.
Agarwal, a resident of Thapar Nagar, Meerut, was booked following a Central GST Department investigation that uncovered large-scale tax evasion. The court, after hearing arguments from both sides and reviewing the case records, denied bail citing the gravity of the offence and the potential impact on the public exchequer.
The accused person Somil Agarwal is one of the partner and key person who looks after all sale-purchase related activities of M/S Harish Chemical Products, Meerut which is engaged in manufacturing of various types o f Resins. The said firm has its manufacturing unit at Plot No. 5, Saraswati Udyog Puram, Partapur, Meerut. During investigation, searches at various premises related to the said fi r m M / S Harish
Chemical Products were conducted o n 24.06.2025. During search proceedings at residence premise o f the applicant accused person Somil Agarwal, various incriminating documents viz. hand-written ledgers related to cash-receipt and cash-payment were resumed. On tabulation of all these cash-receipt and cash-payment entries, it was gathered that there are entries related to cash-transaction to the tune of Rs. 70 Crore (approx.).
During search proceedings at his residence, two mobile phones and one laptop were also resumed. According to the concerned department, Forensic examination of these resumed mobile phones and laptop were conducted by forensic expert. As well as, the documents resumed from the possession of Sh. Somil Agarwal were analyzed and gone through by them. After the investigation, the concerned department noticed that M/S Harish Chemical Products had procured AGU in place of TGU fraudulently.
They had procured such a huge amount of AGU in violation of various provisions. As well as, M/S Harish Chemical Product had wrongly availed and utilized ITC amounting to Rs. 9,32,05,807/- and not paid GST amounting to Rs. 57,82,089/- in respect of supply to some of its recipients.
It is also evident from the perusal of the record that the applicant accused person was arrested on 26.06.2025 and after the said arrest, the applicant accused has confessed to committing the said offence in question and admitted that he was beneficiating by fraudulently availing and utilizing the said ITC amounting to Rs 9.32 Crore and evading payment of Rs. 0.58 Cr on account of supply of goods without proper GST invoices and receiving payments in cash. He has received the amount – in cash, which he has remitted to the firm issuing invoice in their bank accounts and of the goods which he had supplied clandestinely without issuing invoice. He is paying commission to these fake/ fraudulent invoices.
The court noted that Economic offences constitute a class apart and need to be visited with a different approach in the matter of bail. The economic offences having deep-rooted conspiracies and involving huge loss of public funds need to be viewed seriously and considered as grave offences affecting the economy of the country as a whole and thereby posing serious threat to the financial health of the country.
The court held that the charge sheet has not been filed and the applicant, if released on bail will try to destroy the evidence and influence the witnesses and there is his flight risk.
Case Details
Case Title: Somil Agarwal Versus DGGI
Case No.: Bail application No. 3854 of 2025
Date: 28.07.2025
Counsel For Applicant: Priyanka Goel
Counsel For Respondent: Lakshya Kumar Singh
- GSTAT | State Technical Members Takes Oath - August 1, 2025
- Failure To Notify Change in Partnership Makes Retired Partner Liable For GST Dues: Punjab & Haryana HC - August 1, 2025
- Top Underrated AI Startup Ideas That Are Ripe for Disruption in 2025 - August 1, 2025
