Customs refund after unchallenged assessment is not maintainable; payment under protest does not reopen the Bill of Entry.

A refund claim for customs duty paid on ex-bond clearance was held not maintainable where the assessment of the ex-bond Bill of Entry had not been challenged in appeal. Payment under protest did not alter the legal effect of an unassailed assessment, and the later refund request could not be used to reopen it. The principles in Flock India and Priya Blue Industries were applied, and the contrary authority cited was treated as factually distinguishable. The rejection of refund was therefore upheld.

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Issues: Whether a refund claim for customs duty paid on ex-bond clearance was maintainable when the assessment of the ex-bond Bill of Entry was not challenged in appeal.

Analysis: The raw materials remained in the warehouse beyond the warehousing period, and the ex-bond Bill of Entry for home consumption was assessed under Section 68 of the Customs Act, 1962. The duty assessed was paid under protest, but no appeal was filed under Section 128 of the Customs Act, 1962 against the assessment. The Court held that the protest did not displace the legal effect of an unchallenged assessment, and the later refund claim could not be entertained. The principles in Flock India and Priya Blue Industries were applied, while the cited contrary decision was treated as factually distinguishable.

Conclusion: The refund claim was not maintainable, and the rejection of refund was upheld.

Final Conclusion: The appeal failed, and the order rejecting the refund claim remained undisturbed.

Ratio Decidendi: A refund claim against duty assessed on a Bill of Entry is not maintainable unless the assessment itself is challenged and set aside in appeal.

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