M/S Grahil Enterprises LLP vs. Union Of INDIA & Ors.
Original PDF →Facts
The petitioner, M/s Grahil Enterprises LLP, filed a writ petition before the Delhi High Court challenging its classification as a "risky exporter" and the consequent withholding of IGST refunds and duty drawbacks. The respondents, Union of India and others, were represented by the revenue. The tax period is not specified. The initial order or action under challenge is not detailed, but it led to the petitioner being deemed a "risky exporter." The amount in dispute is not stated. The procedural history involves a previous order dated 11.04.2022 and the current hearing on 25.05.2022 where the revenue made a statement regarding the NOC and processing of refunds.
Held
The Court accepted the statement made by the revenue's counsel. The revenue confirmed that a No-Objection Certificate (NOC) had been issued to the petitioner, thereby removing its "risky exporter" status. Consequently, the Court was informed that the IGST refund and duty drawback, which were previously withheld, would be processed. Furthermore, the revenue assured that statutory interest would be granted on these amounts as per the applicable law. The petitioner, initially seeking interest at 9% per annum, agreed to accept statutory interest at 6% per annum (simple). The Court disposed of the writ petition in terms of the revenue's statement and listed the matter for compliance on 21.07.2022. No issues were expressly left undecided.
Key Issues
1. Whether the petitioner, having been issued a No-Objection Certificate (NOC), should be de-categorized from "risky exporter" status, thereby enabling the release of IGST refunds and duty drawbacks? (Question of mixed law and fact, concerning the interpretation and application of departmental procedures regarding "risky exporters"). Petitioner's Argument: The petitioner sought the release of IGST refunds and duty drawbacks, and initially requested interest at 9% per annum. Later, they expressed satisfaction with statutory interest at 6% per annum (simple). Revenue's Argument: The revenue, through its counsel, stated that an NOC had been issued, effectively meaning the petitioner was no longer classified as a "risky exporter." They further stated that the refund of IGST and duty drawback would be processed, and statutory interest would be granted as per law.
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Cause title — parties, addresses and appearances
O R D E R %
2022 [Physical Hearing/Hybrid Hearing (as per request)]
Mr Aditya Singla, who appears on behalf of respondent nos.2 to 7, has returned with instructions.
1 Mr Singla says that a No-Objection Certificate has been issued which, in effect, means that the petitioner is no longer placed in the category of a “risky exporter”.
2 Mr Singla says that refund of IGST and duty drawback, as indicated in our order dated 11.04.2022, will be processed and statutory interest as per law will also be granted.
3 The statement of Mr Singla is taken on record.
The above-captioned writ petition is disposed of, in terms of the statement of Mr Singla.
Consequently, pending application shall stand closed. This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 17/06/2026 at 18:54:15
At this stage, we may note that on 11.04.2022, learned counsel for the petitioner, had sought interest at the rate of 9% per annum. However, today, Ms Anjali Jha Manish, who appears on behalf of the petitioner, says that the petitioner would be quite satisfied if the statutory interest at the rate of 6% p.a. (simple) is granted.
List the matter for compliance on 21.07.2022. RAJIV SHAKDHER, J
TARA VITASTA GANJU, J
MAY 25, 2022
aj
Click here to check corrigendum, if any This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 17/06/2026 at 18:54:15
Reproduced from the public record of the Delhi High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.