Refund rejection set aside for ignoring supporting export documents, with de novo reconsideration directed on the full record.

Where a refund rejection is made on the basis that bank realisation proof was not filed, but the record indicates that the FIRC and supporting export documents were already submitted, the order may be set aside for failure to consider the complete material. The Bombay HC quashed the rejection and remanded the claim for de novo consideration on the full record, with an opportunity of hearing and a reasoned order. The Court treated fresh adjudication as appropriate because reconsideration on all documents would not prejudice the Department.

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Issues: Whether the rejection of the refund application was liable to be quashed and the matter remanded for fresh consideration after taking all documents on record into account.

Analysis: The refund claim had been rejected on the ground that the required bank realisation proof was not produced, whereas the petition asserted that the relevant FIRC and supporting export documents had already been submitted. In view of this dispute on the record, and since reconsideration of the claim on the basis of all material would not prejudice the Department, fresh adjudication was warranted.

Conclusion: The impugned rejection order was quashed and the matter was remanded for de novo consideration by the designated authority after granting the petitioner an opportunity of hearing and passing a reasoned order.

Final Conclusion: The refund rejection was set aside and the claim was sent back for reconsideration in accordance with law.

Ratio Decidendi: Where a refund rejection is shown to have overlooked material supporting documents, the proper course is to set aside the decision and require fresh, reasoned consideration on the complete record.

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