Assessee suffered sizeable deduction of tax at source.  In assessment, refund of Rs. 224.28 crores arose. Department raised issue that assessee had pending demands for other assessment years. Department stated that assessee’s refund claim had not been released on account of computer glitch at Central Processing Center presumably for reason that system was not accepting stay of demands so far made for other years. On writ the Court held that refund arose out of order of assessment could not be withheld on ground of technical difficulty of system. Accordingly the  Department was to be directed to release refund with statutory interest after manually computing same. Court also observed that  Per Court:

‘Surely, before the department, there would be large number of cases of assessees where the refund claim out of an order of assessment or appellate order arises as against which the same assessee may have demands for other assessment years, recovery of which may have been suspended. In all such cases, similar difficulty may be faced by the department. We expect the department to address this larger issue so that similar disputes do not have to travel to the High Court for resolution.’) (AY. 2014-15) WP No. 2435 of 2019 dt 4-10-2019)