Pending GST refund claims must be decided in law, with statutory interest on delayed refund also considered.

Where a refund claim remains pending, the proper officer must examine it in accordance with law, grant refund if admissible, and, if not payable, issue a speaking order stating reasons. The Court also directed consideration of statutory interest on delayed refund under Section 56 of the Central Goods and Services Tax Act, 2017, with disbursement if payable. The refund and interest claims were not decided on merits; they were remitted for time-bound administrative determination.

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Issues: Whether the pending refund application and claim for interest on delayed refund required disposal by the proper officer in accordance with law.

Analysis: The refund application was stated to be pending and had not yet been decided. The Court therefore directed the proper officer to examine the refund claim within a fixed time, grant the refund if found admissible, and if not payable, issue a speaking order communicating reasons. The Court also directed consideration of interest on delayed refund under Section 56 of the Central Goods and Services Tax Act, 2017, with disbursement if payable.

Conclusion: The refund and interest claims were not adjudicated on merits, and the matter was directed to be decided by the proper officer in accordance with law.

Final Conclusion: The petition resulted in a time-bound direction for administrative adjudication of the refund and any consequential interest claim.

Ratio Decidendi: Where a refund claim remains pending, the proper officer must decide it in accordance with law and consider statutory interest on delayed refund under Section 56 of the Central Goods and Services Tax Act, 2017.

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