No interest disallowance For advances given to group and subsidiary companies out of commercial expediency

Assessee has further submitted that no disallowance out of interest of Rs. 31,39,988/- paid to HSBC loan was called for. This is for the reason that loans were advanced to group companies which fell under the category of subsidiary companies under the same management and were engaged in similar business of entertainment / distribution of pay channels. Advances were given to the said group companies as part of the corporate / business strategy of the assessee to expand the business operations. Assessee’s further submission is that lower authorities further failed to appreciate that since the ...