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TMI Blog2023 (1) TMI 1387X X X X Extracts X X X X X X X X Extracts X X X X ..... 9; the only interpretation of Section 11BB that can be arrived at is that interest under the said Section becomes payable on the expiry of a period of three months from the date of receipt of the application under sub-section (1) of Section 11B of the Act and that the said Explanation does not have any bearing or connection with the date from which interest under Section 11BB of the Act becomes payable.' Applying the principles laid down by the Hon ble Supreme Court, it is opined that even though the refund was sanctioned in 29/08/2019, the interest under Section 11BB be calculated on expiry of 3 months from the date of filing of the refund claim. Consequently, the interest amount of Rs.11,83,454/- quantified as shown in Annexure B to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... icating authority sanctioned an amount of Rs.49,10,829/- and rejected remaining amount of Rs.3,53,264/-. As the adjudicating authority did not sanction any interest on the calculated refund amount, the appellant approached the adjudicating authority claiming refund of Rs.11,83,454/- being interest on delayed refund as per Section 11BB of the Central Excise Act, 1944. On being advised, they filed appeal against the non-sanctioning of interest on the delayed refund before the learned Commissioner(Appeals) along with the rejected claim of Rs.3,53,264/-. The learned Commissioner(Appeals) upheld the order of the adjudicating authority on both the issues. Hence the present appeal. 3. At the outset, the learned counsel Shri G.H. Pradyumna for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ned Commissioner (Appeals), the adjudicating authority in de novo proceedings, quantified the admissible refund and sanctioned the same to the appellant and therefore, no interest is payable as the refund claim attained finality and the refund amount was paid after the de novo order passed by the adjudicating authority. 5.1. Heard both sides and perused the records. The short question involved in the present appeal is whether the appellant is entitled to interest claim of Rs.11,83,454/- as interest on the claims pertaining to different periods after expiry of 3 months from the date of filing of the refund claims. The said issue need not be deliberated much being settled by Hon ble Supreme Court in Ranbaxy Laboratories case. Their Lordships ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hus, the only interpretation of Section 11BB that can be arrived at is that interest under the said Section becomes payable on the expiry of a period of three months from the date of receipt of the application under sub-section (1) of Section 11B of the Act and that the said Explanation does not have any bearing or connection with the date from which interest under Section 11BB of the Act becomes payable. 5.2. Also their Lordships in the said judgment made it clear that to setting the applicability of interest, date of filing of the refund claim is relevant and not the date of finality of the refund claim. At para 13 of the said judgment, it is observed as follows:- 13. We, thus find substance in the contention of learned counsel for the as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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