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TMI Blog2025 (3) TMI 327X X X X Extracts X X X X X X X X Extracts X X X X ..... wheel rollers, saw blades and segments falling under Chapter 85 of the Central Excise Tariff Act, 1985. The appellant had filed an application seeking refund of cenvat credit lying in balance amounting to Rs.1,48,49,124/- under Rule 5 of the Cenvat Credit Rules, 2004 on 06.05.2010 consequent to closure of their factory. A show-cause notice was issued on 01.09.2010 proposing to reject the said refund claim. On adjudication, the refund claim was rejected. Aggrieved by the said order, they filed appeal before the learned Commissioner (Appeals) who in turn rejected the same. Hence, the present appeal. 3. Learned Chartered Accountant for the appellant has submitted that they were engaged in manufacturing of diamond cutting tools and supplied th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erein it is held that refund of accumulated cenvat credit cannot be allowed on closure of the factory. The Division Bench of the Hon'ble Bombay High Court in the case of Gauri Plasticulture Pvt. Ltd. Vs. CCE [2019-TIOL-1806-HC-MUM-CX], differing with an earlier decision of the Division Bench of the High Court, referred the matter to the Larger Bench. The Larger Bench of the Hon'ble Bombay High Court taking note of the principle of law settled in this regard and also the judgment of the Hon'ble Supreme Court delivered in the case of Slovak India Trading Pvt. Ltd. held that refund of accumulated cenvat credit on closure of factory cannot be allowed either under Rule 5 of CCR, 2004 or under Section 11B of the CEA, 1944; hence the cash refund o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ordships held as follows:- 40. As a result of the above discussion, we answer the questions of law framed above as (a) and (b) in the negative. They have to be answered against the assessee and in favour of the Revenue. Questions (a) and (b) having been answered accordingly, needless to state that the order of the Hon'ble Supreme Court in the case of Slovak India (supra) cannot be read as a declaration of law under Article 141 of the Constitution of India. 8. Applying the principle of law laid down by the Larger Bench of the Hon'ble Bombay High Court in Gauri Plasticulture Pvt. Ltd. case (supra), we are of the opinion that cash refund of accumulated cenvat credit lying in account on the date of closure of factory in the appellant's case ..... X X X X Extracts X X X X X X X X Extracts X X X X
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