Bank must rectify export credit subvention reversal as per RBI circular: exports within 450 days eligible except delayed period.

The court dismissed the grievance regarding the interpretation of the RBI's Master Circular on export credit. It clarified that advances financing exports within 450 days qualify for subvention, but delays in submitting export documents beyond this period require a reversal of subvention for the delayed period. If exports fail to materialize within 450 days, the domestic lending rate applies, and subvention is unavailable. The first lot of exports was eligible for subvention, except for the delayed period, while the second lot was ineligible. HDFC Bank must rectify the subvention reversal for the first lot and provide a statement of dues, with reimbursement from RBI/Ministry. .....

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