2010 (10) TMI 474

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.... Shri K.P. Singh, SDR, for the Respondent. [Order].  - After hearing both the sides, I find that the issue in the present appeal relates to the demand of interest of Rs. 37,333/- in terms of Section 11AB of Central Excise Act, 1944 on the differential duty which stands paid by the appellants, being in the difference assessable value of goods cleared by them under Central Excise invoice....

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....e and the value at which the goods were ultimately sold by way of raising supplementary invoices. 2. The learned Advocate at this stage submits that the supplementary invoices were raised during March, 2006 to June 2006 whereas the show cause notice was issued on 2-8-2007 and as such, the same is barred by limitation. 3. For the above proposition, reliance is placed on the Tribunal....

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.... of demand of interest being barred by limitation. 5. Examining the above plea independently, I find that the limitation provisions are contained in Section 11A of the Central Excise Act, 1944. On going through the same, I find that they are related to recovery of duty not levied or not paid or short levied or short paid or erroneously refunded. There is not even a whisper of the word 'int....

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....ct, the Hon'ble Bombay High Court in the case of CCE, Aurangabad v. Padmashri V.V. Patil S.S.K. Ltd. reported in 2007 (215) E.L.T. 23 (Bom.) has held that even if no notice is issued, interest is liable to be paid for the delayed payment of duty. Use of words 'shall' and 'be liable' appearing in the relevant section indicate absence of option and chargeable of interest in all cases of non­paym....