2025 (7) TMI 478

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....llant vide the Order-in-Original No. 10/2020-21 dated 23.02.2021. The facts relevant for the present adjudication, succinctly, are as follows: 1.1 That M/s Bharat Heavy Electricals Ltd.[BHEL], Bhopal (the appellant) had applied a refund claim dated 06.09.2017 for refund in cash of total accumulated Cenvat of Rs. 1,56,27,241/-. On verification of the refund claim, it was observed that there are no provisions for such refund. Accordingly, Assistant Commissioner issued a Show Cause Notice No. 05/AC/CEX/ADJ/BPL-I/2017-18 dated 23.11.2017 to the claimant proposing disallowance of the refund claim. After following the procedure of natural justice, the Assistant Commissioner rejected the refund claim vide Order No. 26/AC/ST/Ref/BPL-I/2017-18 da....

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....f the levy was refundable in cash; (vi) The order of the learned Tribunal is contradictory to the decision of the Hyderabad Bench of the Tribunal in the case of Claimant's Hyderabad unit; (vii) The issue has been finally decided in favour of the revenue by the Division Bench of Hon'ble Madras High Court vide its order dated 16.10.2020 in the case of Commissioner of CGST & Central Excise Vs. Sutherland Global Services Pvt. Ltd." 1.2 However, the proposal was not accepted and the amount of refund claim was sanctioned as well as disbursed vide the aforesaid order-in-original (dated 23.02.2021). Since the interest in terms of Section 11BB of Central Excise Act was not granted while sanctioning the said refund that the appea....

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....ght of the submissions of both the parties, it is observed that the refund claim of the appellant as was filed on 06.09.2017 was with respect to refund of unutilized CENVAT. The final order of this Tribunal dated 26.04.2019 has subsequently held appellant eligible for the cash refund of the cesses lying as Cenvat credit balance as on 30.06.2017 in their accounts. Though, the same was proposed to be rejected vide the impugned show cause notice. However, the order in original as passed in this appeal had sanctioned and disbursed the amount of refund claim amounting to Rs. 1,56,27,241/- but without any interest. I further observe that Commissioner (Appeals) has rejected the entitlement of the appellant to have interest on the said sanctioned a....

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....unal or any court against an order of the Assistant Commissioner of Central Excise, under sub-section (2) of section 11B, the order passed by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, by the court shall be deemed to be an order passed under the said sub-section (2) for the purposes of this section." 7. The Notification dated 12.09.2003 has also been perused. As per Section 11BB the statute itself entitles the assessee to have interest on the amount refunded in case the said amount is not sanctioned within three months of the refund claim. In the present case, the refund application was of 06.09.2017 and the order sanctioning the same is dated 23.02.2021 apparently the order of sanction is much beyond the said....