https://www.taxtmi.com/caselaws?id=102056 A company did not contravene section 27(1) of the Foreign Exchange Regulation Act, 1973 by carrying on trading activity through its foreign branch office without separate Central Government permission. The Calcutta HC held that a branch office is only part of the company and is not a separate concern outside India, so its activities are treated as the company's own acts. Section 73(1)(c) was treated as a limited legal fiction and could not be used to widen the scope of section 27(1). Because the penal provision had clear wording, strict construction applied and the penalty could not be sustained. en-us Mon, 12 Mar 1990 00:00:00 +0530 Mon, 13 Feb 2012 15:51:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=102056 A company did not contravene section 27(1) of the Foreign Exchange Regulation Act, 1973 by carrying on trading activity through its foreign branch office without separate Central Government permission. The Calcutta HC held that a branch office is only part of the company and is not a separate concern outside India, so its activities are treated as the company's own acts. Section 73(1)(c) was treated as a limited legal fiction and could not be used to widen the scope of section 27(1). Because the penal provision had clear wording, strict construction applied and the penalty could not be sustained. Case-Laws Companies Law Mon, 12 Mar 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=102056