Pre-show cause notice consultation required for large excise and service tax demands; fraud-related cases are excluded. The Circular reiterates that pre-show cause notice consultation is mandatory prior to issuing a show cause notice for demands above the prescribed threshold, except in preventive or offence-related proceedings, and that the consultation obligation lies with the SCN-issuing authority. Exclusion from consultation is case-specific, not formation-specific; consultation is not mandatory where proceedings arise from fraud, collusion, wilful misstatement, suppression of facts, or contraventions committed with intent to evade duties or taxes.