INDIA CEMENTS LIMITED Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) IN the affidavit filed by the Commissioner of Central Excise, Salem it is submitted that the department was under bona fide impression that once reference petition is filed, the order passed by this Tribunal will "become in operative automatically" and therefore, the refund claim cannot be considered during that period. The above view was taken by the department on the basis of the legal advice given by Shri K. Veeraraghavan, Advocate and Central Government Standing Counsel under his communication dated 1 -8 -2001. Later when the correct position was made clear to them, the applicant has been granted refund of an amount of Rs. 11,87,317/ - with interest @ 6% which will come to Rs. 16,72,277.66.

(2.) SINCE the officers have acted on the basis of the legal advice, we find no reason to proceed against them further in this matter. The Misc. Application, therefore, stands dismissed.