https://www.taxtmi.com/caselaws?id=188427 Workers engaged through a contractor to run a statutory canteen under the Factories Act, 1948 are deemed employees of the factory only to the extent needed to enforce the statutory canteen obligation, and that status does not extend automatically to all service rights or benefits. The Court also held that lifting the corporate veil requires evidence of misuse or sham arrangement; mere supervision over canteen standards, subsidy or management under the statutory scheme is insufficient. As the contractor retained power over appointment, dismissal, pay and discipline, the contractor was not a camouflage and the principal employer could not be treated as the real employer for all purposes. en-us Mon, 25 Aug 2014 00:00:00 +0530 Mon, 08 Jun 2026 10:56:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=188427 Workers engaged through a contractor to run a statutory canteen under the Factories Act, 1948 are deemed employees of the factory only to the extent needed to enforce the statutory canteen obligation, and that status does not extend automatically to all service rights or benefits. The Court also held that lifting the corporate veil requires evidence of misuse or sham arrangement; mere supervision over canteen standards, subsidy or management under the statutory scheme is insufficient. As the contractor retained power over appointment, dismissal, pay and discipline, the contractor was not a camouflage and the principal employer could not be treated as the real employer for all purposes. Case-Laws Indian Laws Mon, 25 Aug 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=188427