TED payment by mistake – No provision for refund – Government cannot unduly retain amount

Carlo Technical Plastics Pvt. Ltd. Vs Union of India (Kerala High Court) The Kerala High Court has held that even if inadvertently certain amount has been paid in a case where there is no provision in the Foreign Trade Policy for refund, the Government cannot unduly retain the amount. The case involved payment of Terminal Excise duty, after availing Cenvat credit, by the assessee-EOU while making certain clearances to another EOU. The High Court observed that the appellate authority ought to have examined the matter in the background that it is a welfare State and the Department/ Government do...