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Issues:
1. Refund of overpaid duty claimed by Minerals & Metals Trading Corporation of India Ltd. 2. Delay in refund application leading to rejection by Customs Authorities. 3. Interpretation of limitation period for refund under the Customs Act. 4. Jurisdiction of Writ Court to enforce refund of overpaid duty. 5. Application of constitutional principles to mandate refund beyond statutory limitations. Analysis: The judgment involves an application by Minerals & Metals Trading Corporation of India Ltd. seeking a refund from Customs Authorities of an overpaid duty amounting to Rs. 20,97,487.35. The Corporation had exhausted remedies up to the Customs, Excise and Gold Control Tribunal but failed to obtain a refund due to a delay of about a month in the refund application. The duty was paid in two installments in May 1982, and the refund claim was made in December 1982, within six months but not seven. It was undisputed that the refund application, except for the delay, was in order with no defects in the necessary documentation. The Corporation argued on three grounds through its representative. Firstly, it contended that being a government entity, the limitation period should be extended to one year instead of six months. Secondly, it claimed entitlement to a refund based on a correction in the Bill of Entry under Section 154 of the Customs Act. However, the Court did not delve into this ground as a more crucial point was raised. The Corporation asserted a residuary jurisdiction in the Writ Court to enforce the return of unfairly held money by public authorities, citing constitutional provisions under Article 12 and Article 14. The Court considered various legal precedents cited by both parties, emphasizing the distinction between statutory limitations for refunds under the Customs Act and the constitutional jurisdiction of the Writ Court to ensure fair action by public authorities. It highlighted the importance of assessing each case individually to determine if a refund should be mandated based on compelling circumstances and fairness. The Court rejected the argument that claims made beyond six months should be automatically dismissed, stressing the need for discretion and evaluation of facts in each case. Ultimately, the Court found in favor of the Corporation, directing the Customs Authorities to refund the overpaid duty amount promptly. The judgment underscored the constitutional duty of the Court to enforce fair action by public authorities, even if it necessitated refund beyond statutory limitations. The Court refused to stay the operation of the order, ensuring timely compliance by the concerned respondents.
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