2013 (2) TMI 2

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....pter Heading 4819 of Central Excise Tariff Act, 1985 against the order-in-original No. 24/2009, dated 14-5-2010 passed by the Deputy Commissioner of Central Excise, D-division of Chennai-I Commissionerate, Chennai-37 (hereinafter called the respondent). 2. The brief facts of the case are that the appellant were getting manufactured the items Nokia Master carton 9654586, Large Compact 9694753 and Nokia Flat Sheet 9654587 corrugated, with the help of a job worker M/s. Wadpack (P) Ltd, Bangalore without prior permission as per Law. The raw materials for the manufacture of above items were directly delivered at the job workers premises at Bangalore and Cenvat credit on the raw materials were availed by them and full manufacturing activi....

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....st. There is no legal sanction for crediting the sanctioned rebate to the Cenvat account. In support, they quoted a case law 2004 (178) E.L.T. 125 (Guj.) (ii)    that the rebate amount is required to be paid along with interest commencing from 3 months from the date of filing of each of the rebate claims. In the above cited case Laws, the Hon'ble High Court has not only directed payment of interest on the sanctioned rebate amount from three months of the date of filing the claim but also ordered that failure to do so would entail interest on interest ordered. In support they cited various other case Laws. Further submitted that interest on delayed payment of rebate/refund is provided for under Section 11BB of CEA, 1944.....

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....e appellant was not given an opportunity of being heard. I find that there is no express provision in the Act/Rule/Notification governing the rebate claim empowering the adjudicating authority to sanction the rebate claim and to credit the same in claimant's cenvat account. It is pertinent to note here that the C.B.E. & C. vide Circular No. 687/3/2003-CX., dated 3-1-2003, in respect of claims pertaining to refund of duty paid through cenvat account, on export, had clarified that there is no discretion with the sanctioning authority to give the refund of duty paid on goods exported through credit account. It is therefore clarified that the duty paid through the actual credit or deemed credit account on the goods exported MUST BE refunded in ....