deamnd intimation from TRACES

[subbufca]

TRACES, central processing wing of tds returns; may be  after processing TDS  returns of past many years,  are seen to be  issuing  demand /intimations to TDS deductotrs towards short deduction  etc. for past years (I have seen to be even from fy2008-09).In a case where such a deductee concerned had already  paid balance tax claimed refund based on  original  TDS by due date for return in past and his return is processed /refund given based on that, whether the present  payment of TRACES demand  would not result in duplication and how would the deductee would come to know about such 'enhanced' deduction -especially when such deductees are not traceable / were under one time deals/ stopped business/ no more  ?? . Also, the demand for interest and interest on interest could be  logical upto the date of payment of tax by deductee . I am not sure whether this aspect would have been considered by TRACES ? If not , is there any justification/ legality in  collecting taxes both from deductees and later on now  from deductor by present scheme followed ? Would the department follow up the eligible deductees and make refund of 'excess tax' with interest??