Supreme Court dismisses petition on excise duty refund and interest payment, petitioner barred from challenging unpaid interest.

The Supreme Court dismissed the petition concerning the refund of excise duties on blended yarn and payment of interest. The court held that since the petitioner had agreed to pay in cash and had already made substantial payments, they could not challenge the remaining unpaid interest amount under Article 226 of the Constitution of India. The court did not address other issues raised by the petitioner and dismissed the petition without any cost orders.

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Issues:
Refund of excise duties on blended yarn, payment of interest, acceptance of payment from Cenvat credit account, request for installment payments, grievance under Article 226 of the Constitution of India.

Analysis:
The petitioner had initially filed a suit for the refund of excise duties paid on blended yarn, which was decreed in their favor. However, an appeal by the Excise Department led to a direction for the petitioner to refund the amount paid with interest. The petitioner then approached the Supreme Court, which upheld the department's right to recover the refund amount. Subsequently, the Excise Department demanded payment with interest, initially at 18% but later agreed to 12%. The petitioner made payments from their Cenvat Credit Account, but the department insisted on cash payments. Despite making substantial cash payments towards the interest amount, a balance remained unpaid. The court held that since the petitioner had agreed to pay in cash and had already paid a significant portion, they could not raise a grievance under Article 226 of the Constitution of India for the remaining unpaid interest amount.

Therefore, the court dismissed the petition solely on the ground that the petitioner, having agreed to pay in cash and already making substantial payments, could not later challenge the remaining unpaid interest amount. The court did not delve into other issues raised by the petitioner, leading to the dismissal of the petition with no order as to costs.

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