CESTAT Grants Interest on Entire Refund Because Investigation Deposits Assume Character of Pre-Deposit

Spring Merchandiser Pvt Ltd Vs Commissioner of CGST & Central Excise (CESTAT Ahmedabad) Summary: CESTAT Ahmedabad allowed the appeal filed by Spring Merchandiser Pvt. Ltd. concerning interest payable on refund of ₹15 lakh deposited during investigation between August 2005 and October 2005. The proceedings against the appellant had ultimately concluded in its favour, and the refund was sanctioned. However, the Commissioner (Appeals) treated only ₹1,18,073, representing 7.5% of the confirmed demand, as statutory pre-deposit under Section 35F of the Central Excise Act and granted intere...