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2018 (5) TMI 688 - HC - CustomsDuty Drawback alongwith interest - failure on the part of Revenue to provide necessary documents - Held that: - the export made by the petitioner has not been denied. In fact, in the counter affidavit filed by the respondent in this writ petition, it has been candidly admitted that the question of export has never been disputed by the Department. In such a situation, it has to be seen as to whether the respondent was justified in rejecting the petitioner's claim for drawback. The Department admitted the fact that the documents are not traceable. When the petitioner was directed to produce the documents, they were also in the position because, at the time when the claims were made in the year 1978, all original documents were submitted. Therefore, the petitioner had produced such of those documents, which were available with them and most of which are found mentioned in writ petition and counter affidavit filed by the Department. The respondents cannot deny the claims for the reasons set out in the impugned orders. In fact the petitioner's rights cannot be infringed for the fault committed by the Department. Entitlement to interest - Whether interest is payable on the said amount and the period for which interest has to be paid? - Held that: - the fault lies on the Department in not keeping the file safe and at this distance of time, the Department cannot state that the petitioner should have produced adequate copies as and when the Department called for. The Department having accepted the drawback claim along with original documents, was bound to protect the same till orders are passed and disposal of the documents should be done in accordance with the Rules, which cover destruction of records. Therefore, the petitioner is entitled for interest on the delay in effecting payment of the drawback claimed. Rate of interest - from what date interest is payable? - Held that: - Since the Court is convinced that the petitioner is entitled for the amount, interest of justice would be met if the respondent paid interest from the date of filing of this writ petition, i.e., 31.07.2003 - With regard to rate of interest, this Court is of the view that there has been variable rate of interest fixed under Section 27 A of the Customs Act by several notifications and the notification, which came to be issued in September, 2003 could be very well adopted and the rate of the interest is fixed at 6%. Petition allowed.
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