Appellant entitled to a refund of Rs. 15,00,000/- with interest. Appeal disposed of.

The Tribunal held that the appellant is entitled to a refund of Rs. 15,00,000/- along with interest on the delayed refund from 19.02.2019 until its realization. The appeal was disposed of in these terms.

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Issues Involved:
1. Entitlement to refund claim.
2. Entitlement to interest on delayed refund.
3. Date from which interest on refund is applicable.

Issue-wise Detailed Analysis:

1. Entitlement to Refund Claim:
The appellant reversed Cenvat credit of Rs. 17,67,816/- on 24.04.2009, which was inadvertently entered. A show cause notice was issued on 16.09.2010 demanding Cenvat credit of Rs. 78,30,427/- and appropriating the already reversed amount. The adjudication order dated 15.12.2010 confirmed these demands and imposed penalties. The appellant appealed on 20.03.2012, and the Tribunal ordered a pre-deposit of Rs. 15,00,000/-. The appellant complied on 15.05.2013. The appeal was disposed of on 05.07.2018, setting aside the impugned order, and the appellant filed for a refund of Rs. 15,00,000/- on 12.09.2018. The adjudicating authority sanctioned the refund on 19.02.2019 but appropriated it against penalties and interest. The Tribunal, on 21.05.2019, set aside these demands specifically. The Commissioner (Appeals) dismissed the appeal without considering the Tribunal's order, leading to the current appeal.

2. Entitlement to Interest on Delayed Refund:
The Tribunal found that the merits of the case were not disputed and the appellant was entitled to the refund of Rs. 15,00,000/-. The issue was whether interest on the delayed refund was applicable. Section 35FF of the Central Excise Act, 1944, was relevant, stating that interest is payable if the refund is not made within three months from the communication of the appellate authority's order.

3. Date from Which Interest on Refund is Applicable:
The Tribunal ruled that the appellant was entitled to interest on the delayed refund from 19.02.2019, the date when the refund claim was allowed, until its realization. The Tribunal rejected the argument that the date should be from the final disposal of the appeal on 05.07.2018, citing that the adjudicating authority's act of appropriating the refund amount was a misinterpretation, not a mistake apparent on record.

Conclusion:
The Tribunal held that the appellant is entitled to a refund of Rs. 15,00,000/- along with interest on the delayed refund from 19.02.2019 until its realization. The appeal was disposed of in these terms.

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