AIR 1988 SUPREME COURT 1737 ::1988 ALL. L. J. 1036 ::(1988) 3 ComLJ 1 ::1988 (4) SCC 59 ::1988 UJ(SC) 2 572 ::(1991) 70 ComCas 127 ::(1988) 3 JT 141 (SC)

Supreme Court Of India

(From : 1985 All LJ 250)

Hon'ble Judge(s): Sabyasachi Mukharji, S. Ranganathan , JJ

(A) Uttar Pradesh Electricity (Duty) Act (33 of 1952) , S.3(1)(c)— Electricity duty - Levy of - Electricity energy whether consumed by a Company from its "own source of generation" - Determination of - Lifting of corporate veil is permissible - Consumption of energy by Hindustan Aluminium from its subsidiary, Renusagar Power Co. was held to be from its "own source of generation". Companies Act (1 of 1956) , S.34— Lifting of corporation veil - Electric energy generated by subsidiary wholly consumed by its parent company - Consumption whether from "own source of generation" - Determination - Lifting of corporate veil is permissible. Constitution of India , Art.19(1)(g)— It is high time to reiterate that in the expanding of horizon of modern jurisprudence, lifting of corporate veil is permissible. Its frontiers are unlimited. It must, however, depend primarily on the realities of the situation. The aim of the legislation is to do justice to all the parties. The veil on corporate personality even though not lifted sometimes, is becoming more and more transparent in modern company jurisprudence. The concept of lifting the corporate veil is a changing concept and is of expanding horizons.(Para 63 65 66) In the instant case Hindustan Aluminium Corporation Ltd. (for short Hindalc....