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13. Power to withhold refund in certain cases

Where an order giving rise to refund is the subject-matter of an appeal, revision, reference or re-assessment and the authority competent to grant such refund is of the opinion that the grant of refund is likely to adversely affect the revenue, such authority may, with the prior approval of the Commissioner, withhold the refund till such time as the Commissioner may determine which may at the most extend to finalisation of the pending proceeding:

Provided that if the affected person at any time furnishes security equal to the amount of refund due to him in the form of either bank guarantee from a Scheduled Bank or deposit in post office saving bank account or saving certificates or bonds of the Government of India, pledged to the assessing authority, he shall forthwith be allowed refund of the amount due to him.