9911796707
TMI Blog2016 (11) TMI 268X X X X Extracts X X X X X X X X Extracts X X X X ..... Balangar, Hyderabad, filed a refund claim dated 23.02.1999 for an amount of Rs. 54,30,017-82 towards the excess duty paid on Target Achievement discount, Cash discount, Turnover tax, Freight, Octroi, during the period from July, 1985 to September, 1996 in respect of Electric Fans falling under sub-heading no. 8414.80 of the First Schedule to the Central Excise Tariff Act, 1985 upon finalisation of Provisional Assessment vide Memorandum OC No 475/98 dated 27-08-1998. They also filed another claim dated 09.09.1998 for refund of pre-deposit amount of Rs. 23 Lakh. The original adjudicating authority vide Order-in-Original 100(R)/2005-06 dated 28 06.2005, appropriated Rs. 9,59,011 out of the pre-deposit amount of Rs. 10 Lakh; sanctioned refund ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed 23.11.2006 passed by the Assistant Commissioner. Department filed an appeal against the Order-in Appeal No. 12/2007(H-lV) CE dated 12.03.2007 before the CESTAT on the grounds, inter alia, that the Commissioner (Appeals) without taking into consideration the sanctioned refund of Rs-40,89,028/ordered to be credited to the Consumer Welfare Fund by the Assistant Commissioner vide Order-in-Original no 100(R)/2005-06 dated 28-06-2005, had erred in concluding that the Assessee was eligible for refund of Rs. 54,30,017.82. d. However, in the mean time, consequent to the Order-in-Appeal No.12/2007 (H-IV) CE dated 12.03.2007 the original authority sanctioned a refund amount of Rs. 53,89,028/- (Rs.15,00,000 in PLA and Rs. 38,89,028 as credit in CEN ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efore he sanctioned the interest amount of Rs. 32,16,921/- on Rs. 44,30,018/- and rejected the interest on Rs. 10,00,000/- paid by them as pre-deposit, under Section 11BB of the Central Excise Act, 1944. g. Aggrieved by the above order, the assessee filed an appeal before the Commissioner (Appeals). The Commissioner (Appeals) vide Order-in-appeal No. 47/2009 (H-IV) CE dated 10.11.2009 allowed the appeal on the following grounds. i) Commissioner (Appeals) observed that the lower authority has sanctioned the interest of Rs. 32, 16,921/- on Rs. 44,30,018/- and rejected the interest on Rs. 10,00,000/- paid by them towards pre-deposit holding that Section 11BB of the Central Excise Act, 1944 provides for payment of interest only on duty and no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ovision for payment of interest on delayed refund granted under Rule 9B ibid during the period in question. Therefore, the decision of the Commissioner (Appeals) that the assessee is eligible for interest on refund granted under Rule 9B ibid for the relevant period is not correct. 4. The Ld AR reiterated the grounds of appeal 5. On behalf of respondent the Ld Counsel Sri. V.J. Shankaram submitted that the impugned orders are not correct in law and department orders are liable to be dismissed for the following reasons.. a. The appellants (Revenue) have not challenged the assessment made by the Superintendent of Central Excise; which clearly showed the net excess duty paid by respondents. b. The assessments were provisional. These provisi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ard, it is appropriate to extract the final observations of the Larger Bench decision that has taken into account the observations, inter alia, of Honourable Supreme Court of India in the case of Commissioner V/s allied Photographics India Limited reported in 2004 (166) ELT 3 (SC). 6. We heard both sides. 7. In appeal No. E/541/2007 , the lower appellate authority has set aside order of original authority and has held that appellant are eligible for refund of Rs. 54,30,017.82/- with interest. In appeal E/817/2009 in the second ground of litigation, lower appellate authority has once again held that appellants are eligible for said amount of interest. It is seen that in both orders the appellate authorities have analysed the matter in grea ..... X X X X Extracts X X X X X X X X Extracts X X X X
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