Appellate Tribunal Upholds Commissioner's Decision, Dismissing Revenue's Appeal

The Appellate Tribunal CEGAT upheld the Commissioner (Appeals) decision in favor of the party, dismissing the Revenue's appeal. The Tribunal ruled that the refund amount could not be appropriated by the Deputy Commissioner of Central Excise due to pending appeals/stays, citing legal precedents and a circular. The Tribunal found the Revenue's argument against the binding circular issued by the Board to be untenable and directed the Revenue to pay the rebate due to the respondents promptly.

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The Appellate Tribunal CEGAT, New Delhi upheld the Commissioner (Appeals) order allowing the appeal of the party against the appropriation of refund amount by the Deputy Commissioner of Central Excise. The Tribunal cited legal precedents and a circular stating that no adjustment can be made against pending demands when appeals/stays are pending. The Revenue's appeal was dismissed as the Tribunal found their argument against the binding circular issued by the Board untenable and unreasonable. The Tribunal directed the Revenue to pay the rebate due to the respondents immediately.

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