2017 (2) TMI 875

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....tution of India is filed praying inter alia for a direction to the respondents Revenue authorities to release an amount of Rs. 40 lakhs towards the claim of drawback along with interest as applicable under Section 75A of the Customs Act. 3. The facts in brief are that the petitioner is engaged in the manufacture and export of forgings and casting items. The petitioner is exporting such goods to the countries like Dubai, UAE, etc. The petitioner is duly registered with office of DGFT, Ludhiana. 3.1 In the due course of his business, the petitioner has exported various containers under different invoices and shipping bills in the period from April, 2014 to December, 2014. Such goods have already been cleared and the export tra....

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....e other exporter, seizure memos and show cause notices were issued and the inquiry is still underway, therefore on such remote cause, the Department has abruptly stopped release of drawback on the transaction which the petitioner is entitled to as there are no disputes in this connection. 5.2 Learned Advocate for the petitioner referred to and relied upon a decision of this Court rendered in SCA No. 13003 of 2015 and allied matters, where according to learned Advocate for the petitioner, the Court has observed that the Department cannot indefinitely delay or suspend consideration of the drawback claims. He submitted that in the case before the High Court, some objections were there directly against the petitioner as some DRI investi....

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....ese petitions can be disposed of by issuing appropriate directions. This Court is of the opinion that the Department cannot indefinitely delay or suspend consideration of the duty drawback claims of the petitioner. No doubt, the Department is at liberty to inquire in full details about the export or import in connection with the transaction which is the basis for the claim of duty drawback. However, it is expected that such inquiry or investigation as contemplated by the Department cannot be prolonged beyond a particular point of time. 8. Considering the fact that Section 75A provides for payment of interest to the petitioners if the drawback claim is delayed beyond a period of one month, in that view of the matter, it would be prud....