Interest-free own funds negate advance disallowance; share-premium credits require investor-wise verification under the applicable statutory framework.

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....Interest-free own funds substantially exceeding an advance to a fellow subsidiary, where the advance predated interest-bearing debentures, negate any presumption that borrowed funds financed the advance; the related interest disallowance was deleted. Share-premium credits require an independent investor-wise examination of financial statements, bank records, available funds and transaction evidence to establish the statutory conditions for unexplained credits. Alternative Investment Fund status does not remove that verification requirement. A pre-amendment approach was inapplicable for AY 2023-24, and the share-premium issue was remitted for fresh adjudication after allowing an effective hearing.....