2006 (1) TMI 349 - AT - Central Excise

Summary

Issues:
1. Appropriation of pre-deposit against confirmed demand.
2. Eligibility for refund post successful appeal.

Analysis:
Issue 1: The appellant deposited Rs. 5,50,000/- as pre-deposit during the appeal process. Upon success in the appeal, they sought a refund of this amount. However, the Assistant Commissioner appropriated Rs. 5,07,618/- against the confirmed demand pending against them, refunding only the balance of Rs. 42,382/-. The Commissioner (Appeals) upheld this appropriation under Section 11 of the Act, allowing the adjustment of the pre-deposit towards the confirmed demand.

Issue 2: The appellants, dissatisfied with the order-in-appeal, contended that they were entitled to a full refund following the Tribunal's final order in their favor. The Tribunal, after considering the arguments and case records, referred to Section 11 of the Central Excise Act, which permits the adjustment of duty amounts due to the Revenue against refunds. Citing a relevant precedent, the Tribunal highlighted the authority for such appropriations. Consequently, the Tribunal found no merit in the appeal, leading to its dismissal.

In conclusion, the Tribunal dismissed the appeal, emphasizing the applicability of Section 11 of the Central Excise Act in allowing adjustments between duty amounts due and refunds. The judgment underscores the legal provision permitting such appropriations, thereby upholding the decision to adjust the pre-deposit against the confirmed demand, ultimately denying the appellant's claim for a full refund.