DCM SHRIRAM CONSOLIDATED LTD. Vs. CC, MUMBAI

JUDGEMENT

(1.) Shri Willingdon Christian, learned Advocate, submitted that the Applicants had imported Caustic Soda Plant from abroad and the assessment was made provisional; that after paying the duty they had filed a refund claim on 22.4.1997 for Rs. 39,32,250/ -; that out of this amount Rs. 34,83,457/ - has been sanctioned to them whereas remaining amount of Rs. 4,48,793 has been rejected by the Dy. Commissioner against which their appeal is pending before the Commissioner (Appeals); that he is not pressing the application for granting interest on Rs. 4,48,793/ - before the Larger Bench. After hearing the learned Advocate for the Applicants and Shri S.M. Tata, learned SDR, we observe that though refund claim was filed on 22.4.1999 the assessment was finalized on 16.2.2001 only and the refund, if any, has become due to them only from that date. Thus, interest, if any, will be payable from 3 months after 16.2.2001 and not from 22.4.1997 as at that time no refund was due to the Applicants. We, therefore, hold that the applicants are entitled for the interest on Rs. 34,84,457/ - from 3 months after 16.2.2001 (i.e. 17.5.2001) till the date of payment of the said amount to the applicants at the rate prevailing during the relevant period. The application is disposed of in the above terms.