https://www.taxtmi.com/caselaws?id=123292 Separate incorporated limited companies with independent manufacturing facilities, staff, raw materials and units at different locations cannot have their clearances clubbed for denial of Small Scale Industry exemption unless the department first establishes, with convincing evidence, that one entity is the real controlling manufacturer or a dummy concern. Common shareholding, some fund transfers and movement of raw materials, by themselves, are insufficient to justify clubbing. On these facts, the record supported a prima facie case against clubbing, so complete waiver of pre-deposit of duty and penalties was granted and recovery was stayed pending the appeal. en-us Thu, 17 Jan 2008 00:00:00 +0530 Tue, 11 Sep 2012 14:47:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=123292 Separate incorporated limited companies with independent manufacturing facilities, staff, raw materials and units at different locations cannot have their clearances clubbed for denial of Small Scale Industry exemption unless the department first establishes, with convincing evidence, that one entity is the real controlling manufacturer or a dummy concern. Common shareholding, some fund transfers and movement of raw materials, by themselves, are insufficient to justify clubbing. On these facts, the record supported a prima facie case against clubbing, so complete waiver of pre-deposit of duty and penalties was granted and recovery was stayed pending the appeal. Case-Laws Central Excise Thu, 17 Jan 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=123292