2020 (12) TMI 910

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....entation dated 19.12.2019 and subsequent reminders seeking payment of interest on the rebate sanctioned beyond the period of three months from date of filing of claim as per Section 11BB of the Central Excise Act, 1944 (in short 'Act'). 3. Mr.Viswanathan points out that the language of Section 11BB is clear to the effect that interest is liable to be paid, if refund/rebate is not sanctioned within a period of three months from the date of receipt of refund claim. He relies in this regard upon a judgment of the Hon'ble Supreme Court in the case of Ranbaxy Laboratories Ltd. V. Union of India (273 ELT 3). 4. In that case, the claim for refund was made in 2003 and come to be rejected in 2004. The order of rejection was reversed in Septemb....

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....er Appellate Authority or by the Court shall be deemed to be an order made under sub-section (2) of Section 11B of the Act. It is clear that the Explanation has nothing to do with the postponement of the date from which interest becomes payable under Section 11BB of the Act. Manifestly, interest under Section 11BB of the Act becomes payable, if on an expiry of a period of three months from the date of receipt of the application for refund, the amount claimed is still not refunded. Thus, the only interpretation of Section 11BB that can be arrived at is that interest under the said Section becomes payable on the expiry of a period of three months from the date of receipt of the application under Sub-section (1) of Section 11B of the Act and t....