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TMI Blog2013 (2) TMI 2X X X X Extracts X X X X X X X X Extracts X X X X ..... hrough credit account. Therefore duty paid through the actual credit or deemed credit account on the goods exported MUST BE refunded in cash – Lower Authority was directed to issue cheque/cash without any further delay – In favour of assessee. It was also clarified that interest also should be paid under Section 11BB on this delayed sanction of rebate. In the case of Gujarat Paraffins Pvt. Ltd. v. Joint Secretary, M.F., Govt. of India[2004 (2) TMI 82 - HIGH COURT OF GUJARAT AT AHMEDABAD] it was held that Petitioner is entitled for interest – Therefore assessee is eligible to claim interest on the delayed payments under Section 11BB of the Central Excise for period commencing from the date of expiry of three months from date of making re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... relevant invoice and ARE-1 without payment of duty. In respect of such clearance to Nokia SEZ, the appellant originally preferred four rebate claims of various amounts in terms of Rule 18 of CER read with Notification No. 19/2004, dated 6-9-2004 before the Lower Adjudicating Authority, who vide Orders-in-Original No. 1/2008, dated 1-1-2008, 17/2008, dated 30-7-2008, 20/2008, dated 9-9-2008 and 26/2009, dated 20-1-2009 rejected all the four rebate claims on the ground that the duty payment was not made by the appellant but by their job worker. On appeal against these Orders-in-Original, the Commissioner (A), vide Orders-in-Appeal Nos. 31-34/2009 (M I), dated 29-1-2010, set aside all the above four Orders-in-Original and allowed consequential ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dvocate, during the hearing, in addition to reiterating the submissions made already in the appeal memorandum, has emphasized that in terms of various decisions on this issue, refund has to be sanctioned in cash only and not in the form of Cenvat credit. She has further submitted that interest also has to be paid under Section 11BB. 5. I have carefully gone through the case records and the submissions made during personal hearing. The short issues to be decided in this case are whether - (i) the rebate sanctioned to the appellant and credited in their cenvat account is correct or it has to be issued by way of cheque/cash, and (ii) the appellant s demand of interest on delayed sanction of rebate is legally correct. 5.1 It is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to payment of rebate since the appellant already had a substantial balance in cenvat account and would not in fact be able to utilize the cenvat credit amount immediately. Thus the very act of the lower authority of sanctioning the rebate and crediting it in the cenvat account defeats the very benefit intended to reach the exporter. It is also pertinent to note here that the lower authority in the impugned OIO had not attributed any reason for crediting the sanctioned rebate amount in the Cenvat account. In view of the above discussion and also based on the clarification by the Board cited supra, I hold that the order of the Lower Authority, crediting the rebate amount sanctioned in Cenvat account, requires to be set aside, which I hereby ..... X X X X Extracts X X X X X X X X Extracts X X X X
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