9911796707
TMI Blog2003 (9) TMI 487X X X X Extracts X X X X X X X X Extracts X X X X ..... t. [Order per : V.K. Agrawal, Member (T)]. - The present appeal has been filed by the Revenue against not confirming interest under the impugned order. 2. Shri T.K. Kar, ld. DR, submitted that M/s. Telco Ltd., Jamshedpur availed of Modvat credit of the duty paid on the inputs used in or in relation to the manufacture of their final product; that during the manufacturing process, they used ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t aside the penalty imposed under Section 11AC and interest demanded under Section 11AB on the ground that the provisions of these sections are not to be applied retrospectively; that the Commissioner (Appeals) has also set aside the penalty imposed under Rule 173Q on the ground that the penalty is not imposable where the assessee has taken corrective steps before the issuance of the show cause no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hich Section 11AB came into force. He relied upon the decision in the case of CCEx. v. Elgi Equipments Ltd. - 2001 (128) E.L.T. 52 (S.C.) and M/s. Nirmal Overseas Ltd. v. CCEx. - 2002 (149) E.L.T. 265 (Tribunal). He also emphasised that the Department has not challenged the findings of the Commissioner (Appeals) that non-payment of duty was not by reason on fraud, suppression or wilful misstatemen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submissions of both sides. It is well settled law that the provisions of Section 11AB for imposing interest will not be applicable in respect of the demand of duty prior to the period of insertion of Section 11AB in Central Excise Act i.e. 28-9-96. Further, we observe that the demand of duty confirmed and not challenged by the respondents pertains to the period from 20-4-94 to 8-9-97. As such, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nfirmation of duty against them. The fact of not challenging the dropping of the penalty under Section 11AC of the Act cannot come in the way of the appeal filed by the Revenue for imposing of interest under Section 11AB of the Central Excise Act. We, therefore, hold that the respondents are liable to pay interest on the demand of duty for the period from 28-9-96 to 8-9-97. Appeal is disposed of i ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
