Voluntary duty payment under Section 11A(2B) bars later merits challenge through a refund claim.

Where an assessee reverses credit, pays duty and interest, and intimates the department under Section 11A(2B) of the Central Excise Act, the dispute is treated as concluded and no show-cause notice is required. A later refund claim cannot be used to reopen the merits of that settled position. The refund was therefore held not maintainable, and the assessee was not permitted to contest the underlying liability after invoking the voluntary-payment mechanism under Section 11A(2B).

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Issues: Whether, after payment of duty and interest with intimation under Section 11A(2B) of the Central Excise Act, 1944, the assessee could still contest the merits by filing a refund claim.

Analysis: The assessee had reversed credit and paid duty with interest, and had intimated the department seeking the benefit of Section 11A(2B). On that basis, the dispute was treated as concluded and no show-cause notice was to be issued. The subsequent refund claim amounted to reopening the merits of a dispute already settled through the voluntary-payment mechanism under Section 11A(2B).

Conclusion: The refund claim was not maintainable and the assessee could not dispute the merits after invoking Section 11A(2B); the decision was against the assessee.

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