Date of Order: 20 August 2025
Parties: Sunil Kumar Podder v. Union of Ind

Facts –

• Petitioner's application for refund in Form RFD 01 was initially allowed by refund sanction order in Form RFD 06 dated 11th March, 2021. On an appeal filed by the department, the appellate authority found that the petitioner had failed to substantiate the zero rated supplies inasmuch as the petitioner could not demonstrate/prove the export by supporting documents and accordingly became ineligible to be entitled to zero rated supply pertaining to export consignment for a sum of Rs.89,84,400/-.
• In departmental appeal, refund was reduced as petitioner failed to furnish Customs-certified shipping bills. Appellate order dated 23.02.2023 recomputed refund; excess treated as recoverable.
• Based on this, Section 73 proceedings were initiated; order dated 09.03.2024 passed with demand DRC-07 (11.03.2024) and bank attachment (17.06.2025).
• Petitioner later obtained certified shipping bills confirming exports and sought reconsideration.

Issue –

• Whether refund entitlement can be reassessed when new Customs-certified documents are subsequently furnished.

Order –

• The Court noted that the petitioner later obtained proper certification of shipping/export bills from the Customs Superintendent, which could alter the basis of the earlier appellate order that had denied refund eligibility.
• The matter was remanded to the appellate authority to reconsider the refund afresh on merits, taking into account the newly produced certified export documents.
• The appellate authority’s earlier order (23rd February, 2023) was set aside, and the subsequent Section 73 order (9th March, 2024) and demand in Form DRC-07 were stayed until the fresh appellate decision.
• The fixed deposit already under lien with Punjab National Bank will continue as security and shall abide by the outcome of the appellate proceedings.