Case Note & Summary
The petitioner, Quant Broking Pvt Ltd, a stock broker and member of various stock exchanges, filed a declaration under the Sabka Vishwas (Legacy Dispute Resolution) Scheme 2019, introduced by the Government of India under Chapter V of the Finance Act, 2019. The scheme was applicable to various enactments including the Finance Act 2004, 2007, 2015, and 2016. The petitioner's declaration was accepted by the designated committee, which issued a statement under Section 127 of the Finance Act. However, the respondents delayed in refunding the amount paid by the petitioner under the scheme. The petitioner filed a writ petition seeking interest on the delayed refund. The court considered the provisions of the scheme and the Finance Act, and held that the petitioner is entitled to interest on the delayed refund from the date the amount became due until the date of actual payment. The court also held that the respondents are liable to pay interest for the period of delay in issuing the statement under Section 127. The court allowed the petition and directed the respondents to pay interest at the rate specified under the scheme.
Headnote
A) Sabka Vishwas Scheme - Interest on Delayed Refund - Section 127 Finance Act, 2019 - The petitioner filed a declaration under the Sabka Vishwas (Legacy Dispute Resolution) Scheme 2019, which was accepted. The designated committee issued a statement under Section 127 of the Finance Act, 2019, but there was a delay in refunding the amount paid. The court held that the petitioner is entitled to interest on the delayed refund from the date the amount became due until the date of actual payment, as per the provisions of the scheme and the Finance Act. (Paras 1-12) B) Sabka Vishwas Scheme - Delay in Issuance of Statement - Section 127 Finance Act, 2019 - The respondents delayed in issuing the statement under Section 127, which caused the petitioner to wait for the refund. The court held that the respondents are liable to pay interest for the period of delay, as the scheme aims to provide a quick and efficient resolution of legacy disputes. (Paras 13-20)
Issue of Consideration
Whether the petitioner is entitled to interest on the delayed refund of the amount paid under the Sabka Vishwas (Legacy Dispute Resolution) Scheme 2019, and whether the respondents are liable to pay interest for the period of delay in issuing the statement under Section 127 of the Finance Act, 2019.
Final Decision
The court allowed the writ petition and directed the respondents to pay interest on the delayed refund at the rate specified under the scheme from the date the amount became due until the date of actual payment.
Law Points
- Sabka Vishwas (Legacy Dispute Resolution) Scheme 2019
- Finance Act 2019
- Section 127
- Interest on delayed refund
- Designated Committee
- Declaration under scheme
