1. The short question arising for consideration in this appeal of the Revenue is whether, under Section 11BB of the Central Excise Act, interest is payable to the respondents on the amount of duty refunded to them in terms of the order of the Commissioner (Appeals). The claim for refund of duty was filed on 14.10.2004 and the same was rejected by the original authority. In the appeal filed by the claimant, learned Commissioner (Appeals) allowed the refund claim with interest under Section 11BB from the date after expiry of three months from the date of the claim. In the present appeal, the Revenue submits that interest should have been ordered to be paid only from the date after expiry of three months from the date on which the refund claim was allowed by the Commissioner (Appeals). Learned SDR has reiterated this case of the Revenue. This case is not sustainable inasmuch as it is settled law that, where a refund claim is rejected by the original authority and subsequently allowed by the appellate authority or by this Tribunal or by the competent court of law, the appellate order shall be deemed to be an order passed under Sub-section (2) of Section 11B of the Act, which would mean that, where there is delay of refund with reference to the date of the refund claim, interest shall be paid to the claimant under Section 11BB of the Act from the date immediately after the expiry of three months from the date of filing of the refund application till the date of actual refund. The appellate Commissioner's decision is perfectly in order. The authorised representative of the company, has cited the Tribunal's Larger Bench decision in Jayanta Glass Ltd v. Commissioner of Central Excise, Kolkata , wherein the above legal position was affirmed.
2. In the result, the impugned order is sustained and this appeal is dismissed.