Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2015 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (2) TMI 746 - AT - Central ExciseRefund of excise duty - Period of limitation - Unjust enrichment - Interest on delay in Refund- Held that:- The appellant on 01.09.2006 had paid an amount of ₹ 1,92,95,372/- towards their duty liability and penalty under TR-6 challan. When in pursuance of the Tribunal’s Final Order dated 2.5.2008, the matter was adjudicated de novo by the Commissioner vide order-in-original dated 17.10.2008, the appellant company’s duty liability was determined as ₹ 11,89,303/- with equal amount of penalty under Rule 173 Q (1). The appellant filed a refund application under Section 11 B of the Central Excise Act, 1944 on 21.10.2008 before the Asstt. Commissioner and the Asstt. Commissioner vide order-in-original dated 13.01.2009, after appropriating the duty demand of ₹ 11,89,303/- and penalty of same amount and also the penalty of ₹ 2 Lakh each on Shri T.K. Diwan and Shri D.N. Gupta , held that balance amount is refundable. However, on appeal being filed to the Commissioner (Appeals), the Commissioner (Appeals) vide order-in-appeal dated 17.03.2009 held that the duty refund of ₹ 88,72,686/- is not hit by bar of unjust enrichment and ordered its refund along with interest payable under the law. No appeal has been filed by the Department against the Commissioner (Appeals) order dated 17.03.2009. In our view, the letter dated 30.03.2009 of the appellant company addressed to the Asstt. Commissioner reminding them for the refund of this amount along with interest in pursuance of the Commissioner (Appeals)s order dated 17.03.2009, cannot be treated as fresh refund application and, therefore, the Asstt. Commissioners order refusing the interest and order of the Commissioner (Appeals) dated 6.11.2009 upholding the Asstt. Commissioners Order are totally wrong and not sustainable. We are of the view that since refund application had been filed on 21.10.2008, the interest on the amount of ₹ 88,72,686/- would be payable for the period of delay starting from the date immediately after the date on which the period of 3 months expired.Decided in favour of appellant.
|