In Brief
A 23-year customs dispute involving crude soyabean oil imports ended in Patanjali Foods' favour. The Supreme Court held that encashment of a bank guarantee does not constitute payment of customs duty and therefore the doctrine of unjust enrichment does not apply. The customs authorities were directed to refund approximately ₹77.43 lakh to the appellant with 6% interest from the date of encashment, within four months. The Court found that respondents acted with extreme haste in encashing the guarantees without awaiting the Supreme Court's decision in a related case.
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