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2016 (4) TMI 885 - AT - Central ExciseClaim of interest at the rate of 12% - Delayed sanctioned of refund of pre-deposit - Appellant contended that Hon'ble Supreme Court has allowed the 12% interest as per the judgment of ITC - Held that:- only provision granting interest on delayed refund is provided under Section 11BB of Central excise Act, 1944 therefore interest shall be payable as per the rate prescribed under Section 11BB. Tribunal is creature under the Central Excise Act therefore has limited power to decide the case only as per the statute of Central Excise Act. As regard the 12% interest granted by the Hon'ble Supreme Court, in my view it is under inherent power of the Hon'ble Supreme Court which can not be made precedence and can not be applied in each and every case. Regarding the Circular dated 18/12/2004 the Board has directed to field formation to grant refund of pre-deposit within the three months from the date of order. However, the Board has not prescribed any rate of interest which obviously board can not prescribe the rate which is otherwise provided under Section 11BB and notification issued thereunder. Therefore the order passed by the Ld. Commissioner (Appeals) is proper and legal which does not require any interference hence the same is upheld. However since the Ld Commissioner (Appeals) has already allowed the interest at the rate of 8%/6% depending upon the period, the Adjudicating Authority shall grant interest as ordered by the Commissioner(Appeals). - Decided against the appellant
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