Bombay HC: Refund of Customs Duty Allowed

The Bombay High Court allowed a customs duty refund claim, holding that the department wrongly retained the amount despite the absence of statutory justification. The Court reiterated that authorities must act within the framework of the Customs Act and cannot deny refunds on unfounded technical grounds. It emphasized that once excess or illegally collected duty is established, refund becomes a legal entitlement and cannot be treated as discretionary. The ruling also discusses the doctrine of unjust enrichment and its limited applicability when duty burden has not been passed on. The decision reinforces accountability in customs administration and protects importers from arbitrary revenue retention, promoting fairness and transparency in trade facilitation.