TMI Blog1990 (9) TMI 177X X X X Extracts X X X X X X X X Extracts X X X X ..... filed by the appellants and remanded the same to the Assistant Collector for quantification of the actual freight incurred by the appellants and also for verification of the refund claims. Accordingly, the Assistant Collector, verified the actual freight and the refund claims and sanctioned a refund of Rs. 49,57,243.57 out of the total amount of Rs. 1,72,27,253.00 by his order dated 11-5-1987. 2. Against the refund sanctioned by the Assistant Collector, the Collector, in exercise of the powers, conferred under Section 35E(2) of the Central Excises Salt Act, 1944, directed the Assistant Collector to file an appeal to the Collector alleging, inter alia, that against serial No. 6 in annexure D amount due is shown as Rs. 57,38,009.42 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... und whereas the authorisation under Section 35E(2) was issued on 4-5-1988 and the order of the Collector was passed on 13-4-1989 and, therefore, it is beyond the period of limitation provided under Section 11A of the Act. In support of his contention, he relied upon Collector of Central Excise v. Universal Radiators Ltd. [1988 (37) E.L.T. 222 (Tribunal)]. 6. Shri Asthana, appearing on behalf of the Department contended that under Section 35E(2), the Collector is authorised to direct the adjudicating authority, subordinate to him to apply to the Collector for the determination of points arising out of the decision or order, as may be specified by the Collector of Central Excise in his order and under sub-section 3, the order under sub-sect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e the order granting erroneous refund, the cause of action for recovering the refund erroneously made, does not arise. The order of erroneous refund can be set aside only by following the procedure under Section 35E(2) of the Act. The order can be set aside within the time limit prescribed under Section 35E(2). 8. However, the order passed under Section 35E(2) does not automatically result in recovering the erroneous refund. This order should be followed by a show cause notice under Section 11A, according to which the show cause notice should be issued within six months from the date of actual refund. Since the time limit, for filing an appeal under Section 35E(2), is longer than the time limit prescribed under Section 11A, the show cause ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
