Prayash Construction Vs State of Odisha and others (Orissa High Court)
Orissa High Court addressed a dispute regarding GST refunds for a government contractor, Prayash Construction, whose payments were locked due to the Online Management Monitoring and Accounting System (OMMAS). The petitioner sought reimbursement of the differential GST amount after a rate revision, arguing that the refund was due despite the final bill being processed before the new rates were announced. The government admitted that the refund was legitimate but cited technical constraints, as the payment system was locked after the final bill was settled in December 2018. The authorities had, however, internally revised the work bill and submitted it for approval. They had also requested the Central authority to unlock the payment portal to process the refund.
The court acknowledged the petitioner’s entitlement and directed the authorities to ensure payment within six weeks. The ruling emphasized that technical limitations should not obstruct due refunds, reinforcing that contractors working on government projects must receive their rightful dues even in cases of procedural bottlenecks. The decision mandates timely action from the relevant authorities to unlock the system and process the payment without further delay.
FULL TEXT OF THE JUDGMENT/ORDER OF ORISSA HIGH COURT
