1995 (11) TMI 146

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....unal : "Whether in the facts and circumstances of the case the date of refund sanction order viz. 22-9-1987 would not be the relevant date under Section 11A of the Central Excises & Salt Act, 1944, especially when the communication dated 17-7-1987 was regarding another refund and it only proposed appropriation of the refund amount against another demand." The applicant Collector was represented by Shri Murugandi, the learned Departmental Representative, who reiterated the submissions made in the application and pleaded that the question of law framed in the application may be referred to the High Court for a ruling. The plea was opposed by the learned Counsel for the respondents, Shri Sampath, who contended that no question of law as ....

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....t issued in supersession of the earlier order dated 17-7-1987. While upholding this stand of the Collector (Appeals), the Tribunal's order had only considered the contents of the two letters dated 17-7-1987 and 22-9-1987 issued by the Assistant Collector. It was held in the separate orders of the two Members who decided the matter that refund had been sanctioned under the order dated 17-7-1987 passed by the Assistant Collector. In fact, out of the sanctioned amounts, certain sums held to be due to the Government had also been appropriated. It was observed by both the Members in their respective orders that such an appropriation would arise only after the sanction of the refund. The subsequent letter dated 22-9-1987 was held to be by way of ....

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....e adjusted against a sum of Rs. 13,77,398.40 due to the Department. As already held by the Tribunal, such an adjustment or appropriation can be made only after sanction of refund. The crucial sentence in the letter of the Assistant Collector reads "towards this amount due to the department, a sum of Rs. 12,10,937.40 sanctioned to you in respect of your refund claim dated 6-5-1987 for Rs. 18,46,536 is appropriated ....... (emphasis added). Such appropriation has been further confirmed by the issue of refund cheque for the balance amount, after taking into account the sanction of both the refund claims. This is relevant, though the subject of the letter dated 17-7-1987 refers to only their refund claim dated 10-2-1987 for Rs. 2,33,200/- and d....