2007 (12) TMI 116

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..... fund claim with the Original Authority for refund of Cenvat credit paid on the readymade garments which have been exported. The claims were submitted on 2-1-2004 and 19-1-2004. However, the Original Authority returned the refund claim with a direction to produce original documents along with the claim. Therefore, the claim was rejected. In the letter returning the claim, the following observations were made: l "Please note that for the purpose of computation of time period as envisaged under the provisions of Section 11B and Section 11BB of the Central Excise Act, 1944 the date on which the complete refund claim are submitted will be treated as criteria". The appellants were aggrieved over the above letter and therefore, they approached t .....

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..... documents for verification of the refund claim on 8-7-2004. Therefore, the orders of the Commissioner (A) were implemented promptly without any delay. Hence, no interest is payable. The appellants are aggrieved over the impugned orders. Therefore, they have come in appeal before this Tribunal. 3. We heard both sides. 4. On a very careful consideration of the issue, we find that the appellants wanted the refund claim as per the refund statement prepared by them. However on 20-3-2004 the Departmental officers visited the premises of the appellant and recovered all the documents under Panchanama and they did not give them the copies in spite of their request. Therefore, the appellants submitted the refund claim along with the copies of the .....

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..... ither the Commissioner (A) or the Tribunal. The time for payment of interest always commences immediately after the expiry of three months from the date of filing of the refund claim. This is very clear on reading the explanation to Section 11BB. Even though the Commissioner (A) has quoted the legal provisions he has not drawn the proper conclusion. We have also held in many cases that in terms of Section 11BB the interest is liable to be paid by the department if the refund claim has not been sanctioned within three months from the date of filing of the claim. In the present cases, it is on record that the refund claim originally submitted was returned and the party went in appeal, the order was in favour of the appellant. Therefore, the d .....

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