https://www.taxtmi.com/caselaws?id=165179 The expression "held by the public" under the third proviso to Section 23A of the Indian Income-tax Act, 1922 was construed to require that the relevant shareholders exercise voting power independently of the directors. Mere possibility of influence or control, or the existence of a managing agency arrangement, was insufficient to satisfy the statutory enquiry. The material question was whether the directors in fact exercised de facto control over the shareholders concerned. The Tribunal had not applied that legal standard, and the existing record did not contain a definite finding on actual control. en-us Tue, 10 Mar 1953 00:00:00 +0530 Sat, 17 May 2014 15:27:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=165179 The expression "held by the public" under the third proviso to Section 23A of the Indian Income-tax Act, 1922 was construed to require that the relevant shareholders exercise voting power independently of the directors. Mere possibility of influence or control, or the existence of a managing agency arrangement, was insufficient to satisfy the statutory enquiry. The material question was whether the directors in fact exercised de facto control over the shareholders concerned. The Tribunal had not applied that legal standard, and the existing record did not contain a definite finding on actual control. Case-Laws Income Tax Tue, 10 Mar 1953 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=165179