2001 (2) TMI 213

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..... iled by the Revenue is whether refund of the duty paid through Modvat credit account i.e. RG 23A Part II is payable in cash to the customer of the excisable goods. 2. Shri S.K. Menon, learned SDR, submitted that the Respondents, M/s. Rajashree Cement purchased one electrostatic precipitator from M/s. BHEL who paid duty of Rs. 7,25,952 @ 15% instead of @ 5% under Notification No. 78/90-C.E., dated .....

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..... pt under the provisions of Rule 57F(4); that allowing cash refund of the duty adjusted in Modvat account is not proper. 3. Opposing the appeal Shri R.G. Utagikar, learned Consultant, submitted that payment of duty through RG 23A Part II is also payment of duty of which refund should be available to them if the duty has been paid in excess; that under Section 11B of the Central Excise Act, a Custo .....

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..... payment of duty. The respondents are eligible to the refund of duty that has been paid through RG 23A Part II, if otherwise eligible. To this extent the Adjudicating Authority was not justified in rejecting the refund claim and the findings of the Commissioner (Appeals) is correct and legal that duty paid through RG 23A has to be refunded, if it has been paid in excess. However, we do not agree t .....

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..... In Kothari General Foods case, supra, the issue involved was whether refund of duty is to be restricted to the duty paid by debit in PLA. Further the Respondents in the said case had exported the final products. In Sandoz (India) case, supra, the issue involved was not the refund of duty paid through RG 23A Part II Account. In MRF case, supra, the Appellate Tribunal held that refund in cash would .....

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..... 5. Accordingly, we hold that payment of duty through RG 23A Part II account is a payment of duty and the refund of the same has to be given, if otherwise admissible and principle of unjust enrichment does not apply. However, the refund amount is to be given in RG 23A Part II account if the same is in operation. The appeal is, thus, disposed of in these terms.
Case laws, Decisions, Judgements, .....

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