Stay of recovery after appeal disposal was refused; pending reference did not bar recovery of interest under the excise statute.

Section 35F of the Central Excise Act could not be used to stay recovery once the Tribunal had already dismissed the appeal, because that provision applies only to pending appeals. The amount in dispute was interest payable on duty already paid, and the statutory scheme was read to permit recovery despite a pending reference before the High Court, with Section 35N not operating as a bar. On that basis, the request for stay was rejected and recovery of the interest amount was allowed to proceed.

---

---

Issues: Whether recovery of interest payable under Section 11AA of the Central Excise Act, 1944 could be stayed under Section 35F of the Central Excise Act, 1944 after the appeal had already been dismissed, and whether the pendency of a reference before the High Court barred recovery.

Analysis: Section 35F applies only to appeals pending before the Tribunal and does not govern a case where the Tribunal has already dismissed the appeal. The demand in question related to interest on duty already paid, and the statutory scheme was held to permit recovery notwithstanding any reference, by virtue of Section 35N. In these circumstances, no basis existed to restrain the department from recovering the interest amount.

Conclusion: The request for stay was rejected and recovery of the interest amount was not stayed.

Ratio Decidendi: Section 35F cannot be invoked to stay recovery after disposal of the appeal, and sums due under an order remain recoverable notwithstanding a pending reference under Section 35N.

---