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TMI Blog2019 (5) TMI 1096X X X X Extracts X X X X X X X X Extracts X X X X ..... s inordinate delay in refund of interest to the Appellant therefore the Appellant has to file another refund claim for refund of interest of ₹ 6,84,274/- for delay in refunding the interest to the Appellant on the ground that the interest on delayed refund was immediately payable alongwith the refund amount on 02.08.2012 but was actually paid on 16.07.2015. The prayer of the Appellant for grant of interest on delayed payment of interest is allowed - Appeal allowed - decided in favor of appellant. - MR. AJAY SHARMA, MEMBER (JUDICIAL) Shri Jitin Singhal, Advocate for the Appellant Shri K. Poddar, Authorised Representative for the Respondent ORDER AJAY SHARMA The instant Appeal has been filed from the impugned order dated 27 June, 2018 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant is entitle to claim interest after three months from the date of filing of refund claim till its realisation. Since again there was inordinate delay in refund of interest to the Appellant therefore the Appellant has to file another refund claim for refund of interest of ₹ 6,84,274/- for delay in refunding the interest to the Appellant on the ground that the interest on delayed refund was immediately payable alongwith the refund amount on 02.08.2012 but was actually paid on 16.07.2015. As a result, another show cause notice dated 08.12.2015 was issued to the Appellant as to why the refund of interest amounting to ₹ 6,84,274/- should not be rejected under Section 11B of the Central Excise Act, 1944. The Adjudicating Authority ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (Del.). 6. The learned Authorised Representative, on the other hand, reiterated the findings recorded in the impugned order and prayed for dismissal of Appeal. According to him there is no provision under law for payment of interest on interest amount and hence it cannot be granted. In support of his submissions learned Authorised Representative cited the decision of the Tribunal in the matters of Vindhyachal Air Products Pvt. Ltd. Vs. CCE, Bhopal; 2016(339) ELT 120 (Tri.Del.) and Hindustan Photo Films Manufacturing Co. Ltd. Vs. CCE, Salem; 2018(364) ELT 471 (Tri.-Chennai). 7. While going through the impugned order, I find that one of the main reasons given by the learned Commissioner while rejecting the Appeal filed by the Appellant is tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re is no provision for payment of interest on the interest amount, but it would be payable at the same rate at which the excess amount carries interest. The aforesaid decision was further followed by the Hon ble High Court in the matter of Chimanlal S. Patel (supra) and it was held that the Revenue is liable to pay interest on the amount of interest which it should have paid to the assesee but has unjustifiably failed to do so. This view point of the Hon ble High Court was upheld by the Hon ble Supreme Court also and the Hon ble Supreme Court in the matter of CIT vs. Narendra Doshi (supra) dismissed the Appeal filed by the department and held that the revenue is liable to pay interest on the amount of interest. A coordinate Bench of the Tri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e decisions cited by the learned Authorised Representative are not applicable in the facts of the present matter, rather the decision of the Tribunal in Kerala Chemicals (supra) is applicable on the facts of this case since the same is in accordance with the decisions of the Hon ble Supreme Court and the Hon ble Gujarat High Court as mentioned in earlier paragraphs although these decisions have not been discussed in the aforesaid decision of the Tribunal. Only because there is no provision for interest on refund of delayed interest that does not mean that there is any bar or prohibition for granting the same and therefore following the law laid down by the Hon ble Supreme Court and the decisions of Hon ble Gujarat High Court as well as the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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