https://www.taxtmi.com/caselaws?id=115937 Proprietary interest in connected partnership firms requires proof of ownership or effective control, not merely a common director or share participation; on the facts, the company was treated as an independent processor. Clearance of fabrics for zero-zero processing did not breach clause 8(3) of Notification No. 32/2001-C.E. where the fabrics had already been stentered before receipt, and there was no evidence that unstentered fabrics were removed from the factory. On that basis, denial of exemption, duty demand, and connected penalties were not sustainable, and the compounded levy benefit was available. en-us Thu, 17 Feb 2005 00:00:00 +0530 Tue, 05 Jun 2012 17:57:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=115937 Proprietary interest in connected partnership firms requires proof of ownership or effective control, not merely a common director or share participation; on the facts, the company was treated as an independent processor. Clearance of fabrics for zero-zero processing did not breach clause 8(3) of Notification No. 32/2001-C.E. where the fabrics had already been stentered before receipt, and there was no evidence that unstentered fabrics were removed from the factory. On that basis, denial of exemption, duty demand, and connected penalties were not sustainable, and the compounded levy benefit was available. Case-Laws Central Excise Thu, 17 Feb 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=115937