This theory of corporate entity is indeed the basic principle on which the whole law of corporations is based. Instances are not few in which the Courts have successfully resisted the temptation to break through the corporate veil.

But the theory cannot be pushed to unnatural limits. There are situations where the Court will lift the veil of incorporation in order to examine the realities which lay behind. Sometimes this is expressly authorized by statuteand sometimes the Court will lift its own volition.

(i). Fully explain what it is "Lifting the Corporate Veil"

(ii). How can the Corporate Veil be lifted?

(iii). What is the veil of incorporation? How can the Veil of Incorporation be lifted?