ARREST PROVISIONS IN GST LAWS AND THE RIGHTS OF A CITIZEN

In this article, I intend to dwell upon certain key observations of the Hon’ble Supreme Court of India in a recent judgment in the case of Radhika Agarwal Vs Union of India 2025 SCC Online SC 449, where the constitutional validity of Sections 69 and 70 of the Central Goods & Services Tax Act, 2017 (“GST Act”) was upheld.

- Adv Sherry Samuel Oommen

It is pertinent to note that Section 69 of the GST Act deals with when a person can be arrested, while Section 70 deals with the power of the authorities to summon individuals in connection with GST related offences.

The Supreme Court has notably also held that the provisions of the Code of Criminal Procedure, 1973 (“CrPC” or “the Code”) and the safeguards provided in CrPC must be followed whilst making any arrest. The Hon’ble Supreme Court also found force in submission of the Petitioners that they were compelled to pay tax as a condition for not being arrested.

1. Right to seek protection in the form of anticipatory bail

The Hon’ble Supreme Court has upheld the right of a person apprehending arrest to approach the Court seeking anticipatory bail even under the laws governing Goods & Services Tax. This right available to a person reaffirms ones right to life and liberty which is the fountainhead of Article 21 of the Constitution of India.

It must also be noted that the registration of a case is not condition precedent to approaching the Court seeking grant of anticipatory bail. This principle has been upheld by the Constitution Bench of the Hon’ble Supreme Court in Gurbaksh Singh (1980) 2 SCC 565. The said principle has been reiterated by the Hon’ble Supreme Court in the case of Radhika Agarwal.

2. Right of being informed about the grounds of arrest