https://www.taxtmi.com/caselaws?id=198450 A penalty on a company was upheld where the record showed that the two units were not independent, there was financial nexus beyond a principal-to-principal relationship, and the units did not deal at arm's length. By contrast, penalties on directors were set aside because personal liability cannot be fastened merely from association with the company; the order required specific findings showing each director's individual role in the offending conduct, and a general statement that they were actively concerned was insufficient. The matter therefore resulted in the company penalty being sustained and the directors' penalties being annulled. en-us Tue, 13 Jul 1999 00:00:00 +0530 Wed, 13 Aug 2025 10:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=198450 A penalty on a company was upheld where the record showed that the two units were not independent, there was financial nexus beyond a principal-to-principal relationship, and the units did not deal at arm's length. By contrast, penalties on directors were set aside because personal liability cannot be fastened merely from association with the company; the order required specific findings showing each director's individual role in the offending conduct, and a general statement that they were actively concerned was insufficient. The matter therefore resulted in the company penalty being sustained and the directors' penalties being annulled. Case-Laws Central Excise Tue, 13 Jul 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=198450