TMI Blog2002 (3) TMI 74X X X X Extracts X X X X X X X X Extracts X X X X ..... nterest on the amount of duty as determined and held payable in terms of the adjudication earlier held under Section 11A of the Act. Vide Judgment dated 23rd July, 1999 the Customs, Excise Gold (Control) Appellate Tribunal (CEGAT), Eastern Bench, Calcutta, set aside that part of the order impugned before it whereby penalty was imposed upon the respondent. But in course of the aforesaid Judgment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payable is determined for the first time after the insertion of Section 11AB, the Adjudicating Authority would now be empowered to levy interest under Section 11AB upon the duty determined to be payable by the assessee or not even for evasion of duty taking place in the past prior to insertion of Section 11AB." Section 11AB reads thus : "11AB. Interest on delayed payment of duty. - (1) where ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions contained in sub-section (2) of Section 11A, till the date of payment of such duty. (2) For the removal of doubts, it is hereby declared that the provisions of sub-section (1) shall not apply to cases where the duty became payable before the date on which the Finance (No. 2) Bill, 1996 receives the assent of the President." 3. Section 11AB was added in the Central Excise Act, 1944 by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Court and the aforesaid order of CEGAT was upheld. That order was passed under Section 11AC of the Act. Section 11AC is admittedly, in pari materia to Section 11AB. In this case, the Tribunal had held that Section 11AC was prospective in operation. 5. The learned Counsel for the respondent also relied upon a judgment of the Supreme Court in the case of Commissioner of Central Excise, Coimbatore ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uage employed in sub-section (2) thereof, we hold that this Section being prospective in operation, the respondent is not liable to pay interest on the duty determined and payable for the period in question before the section was made applicable and, accordingly, we have no hesitation in holding that the Tribunal was correct and justified in passing the order dated 8-2-2001. 6. The application o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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