The Allahabad High Court last week modified a condition in the bail order of a Chinese national, who has been in jail for nearly a year on charges of alleged Goods and Services Tax (GST) fraud worth over Rs 88 lakh.
Alice Lee alias Li Tengli, who was employed as a security worker at an LED display system manufacturing company in Greater Noida from 2024, was asked to procure a guarantee certificate from her country’s embassy to ensure she would attend the trial court proceedings in India without fail. However, the Chinese embassy rejected the request, following which Lee could not be released from jail despite being granted bail in February this year.
Lee was arrested in August 2025 and sent to jail.
A single bench of Justice Samit Gopal, in its order on July 14 to modify the earlier bail conditions, directed the woman to file an undertaking before her trial court stating that she would appear on all dates without fail and cooperate with the trial proceedings for its early conclusion. The applicant shall not leave India without permission of the trial court concerned, the order stated.
The Superintendent (Anti-Evasion), CGST, Gautam Buddha Nagar, had booked Lee and Tentech LED Display alleging that the company imported goods such as cabinet module, accessories, module power supply, cable, connectors, and power adapters under different brand names.
Unit found running secretly
Investigators found that without informing the department, the company shifted the manufacturing activities from the principal place of business to the premises situated in Greater Noida, where the unit was found running secretly.
It was also found that the company engaged in the manufacturing of ‘Visual Display Unit’ and ‘LED Display Unit’ by assembling imported inputs such as cabinet, module, power supply cable, connector, power adapters, etc. It was also gathered that the taxpayer was allegedly evading GST by mis-declaring its finished goods as ‘Cabinet’, whereas the cabinet was one of the inputs of the Visual Display Unit. After assembling all inputs, including the cabinet, the Visual Display Unit comes into existence as manufactured goods attracting 28 per cent GST. The goods were being dispatched by paying 18 per cent GST and thereby causing a short payment of 10 per cent GST.
The tax evasion due to misclassification or mis-declaration of goods of 10 per cent was calculated for financial years 2019-20 to 2024-25 to be Rs 88,80,751. After the inquiry, Lee was arrested.
Lee’s X-Misc. Visa valid till October 28
Lee’s husband had approached the Supreme Court praying for her bail. The apex court had directed the court concerned to hear the bail plea.
Lee’s counsel informed the High Court about confirmation by the In-charge Legal Cell, Foreigners Regional Registration Office (FRRO), Delhi, stating that X-Misc. (Miscellaneous Entry) Visa granted to her on April 29 was valid till October 28 with the remark, “No Departure Allowed Without Exit Permit”.
X-Misc. Visa is granted to foreign nationals released on bail while facing criminal cases and whose presence is required to attend court proceedings in India. It also stated that the visa is granted only to attend court proceedings.
The court, however, directed the Chinese national to inform the trial court periodically of her place of stay and her movement within the country through affidavit once every two months.
Source from: https://indianexpress.com/article/legal-news/allahabad-high-court-chinese-national-gst-fraud-bail-condition-10801870/
