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2018 (2) TMI 1392 - AT - Central ExciseClandestine removal of finished goods - mis-use of the cenvat credit - seizure of currency - Held that: - Revenue should pay interest for the period the amount remained in its custody - the amount of ₹ 8 lakh seized in cash and held by the Department in bank account should be eligible for interest from 21.09.2005 (from the date of seizure) till its actual refund. The interest in this case should be computed on the basis of the interest accrued to the Revenue for keeping such money in the bank account. Interest as per the provisions of Section 35 F ibid - Held that: - the only active provision contained in the Central Excise Statute for grant of interest is Section 11 BB, which mandates that if the refund is not sanctioned within three months from the date of its filing, the said refund should be paid along with interest at the prescribed rate. Further, Section 35 FF of the Act provides that in case of favourable order by the Appellate Authorities, the refund should be sanctioned within three months from the date of communication of such order to the adjudicating authority - In this case, since the order was not communicated to the appellant or the Adjudicating Authority on 26.12.2016, the claim of the appellant for interest from such date, should not merit consideration. The appellant should be entitled for refund of interest from the date of seizure of currency, till its actual refund by the Department and that the Department should pay the interest amount at the applicable bank rate - appeal disposed off.
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