Orissa HC Grants Interest on 14-Year-Delayed Customs Refund, Caps Rate at 6%

Commissioner of Customs Vs Vedanta Ltd (Orissa High Court) Summary: The Orissa High Court dealt with an appeal filed by the Department against an order of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) directing payment of interest to Vedanta Ltd. on the excess amount of customs duty that had been retained by the Department for a prolonged period of nearly 14 years. The dispute arose due to inordinate delay in finalizing the provisional assessment and refunding the excess duty paid. According to the facts, Vedanta Ltd. had imported goods on which duty was provisionally assesse...