TMI Blog2008 (6) TMI 386X X X X Extracts X X X X X X X X Extracts X X X X ..... nue seeks to restore the demand of interest vacated in the impugned order. The facts of the case are that the appellant M/s. Giri Tex, Karur, had removed excisable goods to adjacent premises without payment of duty. It appears that owing to unprecedented rains and flood in October 2003 in Tamilnadu, the assessee was forced to remove the goods without following the statutory formalities. The assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 03 (161) E.L.T. 285 (Tri-Bang.)] These decisions were made prior to 11-5-2001. (b) In terms of Section 11AB effective from 11-5-01, even when the assessee had paid the duty due before issue of show cause notice under sub-section 2(B) of Section 11A interest has to be paid for the delay in payment of duty. 3. The respondents relied on various case law cited before the Commissioner (Appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion 11AB at the material time read as follows : Section 11AB. Interest on delayed payment of duty. - (1)Where any duty of excise has not been levied or paid or has been short levied or short-paid or erroneously refunded, the person who is liable to pay the duty as determined under sub-section (2), or has paid the duty under sub-section (2B) of Section 11A, shall, in addition to the duty, be lia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se (supra) dealt with a case where demand of interest was made four years after the assessment order. In the instant case, the notice was issued within six months of payment of duty. Moreover, the said ground was not taken at any stage earlier. The same judgment also laid down that interest liability accrues automatically and that notice was not required for its recovery. In the circumstances, I a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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