2019 (6) TMI 1142

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....ight in allowing the interest on refund sanctioned when the original issue is pending for decision before the Hon'ble Supreme Court in SLP No. 2672/2012 filed by the department against the Hon'ble High Court's order dated 24.03.2011 as well as the order dated 20.09.2012 sanctioning the said refund claim is also challenged by the Department before the first Appellate Authority? 3. The respondent is engaged in the manufacture of cosmetic shampoo falling under Chapter 33 of the Central Excise Tariff Act, 1985. The Revenue was of the view that the cosmetic shampoo have to be assessed to duty under the MRP (Maximum Retail Price) based assessment under Section 4A of the Act. According to the respondent, the assessment had to be don....

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....ld that the respondent is entitled to interest as claimed from 18th April, 1999 i.e. 3 months after the date of refund application i.e. 18th January, 1999 till the grant of refund of Rs. 49.17 lakhs on 20th September, 2012. This by following the decision of the Apex Court in Ranbaxy Laboratories Ltd. Vs. Union of India, (2011) 273 ELT 3. In the above case, the Apex Court had held that the liability of the Revenue to pay interest under Section 11BB of the Act commences from the date of expiry of 3 months from the date of receipt of application for refund under the Act till the date the principal amount was paid back to the respondent assessee.   6. Mr. Jetly, learned Counsel appearing on behalf of the appellant does not dispute the d....