(1.) THE following question has been referred to this court under Section 64(1) of the Estate Duty Act, 1953 :
(2.) THE deceased, Bankatlal Lahoti, was a partner in the firm of M/s. Dayaram Surajmal, which was carrying on business as bankers. On October 4, 1952, he transferred a sum of Rs. 1 lakh each to the three minor grandsons of his deceased brother. THE procedure adopted for the transfer was as follows: THE deceased drew a cheque for Rs. 3 lakhs against his account with M/s. Dayaram Surajmal. THE cheque was in favour of M/s. Dayaram Surajmal. THE account of the deceased with the said firm was debited with the sum of Rs, 3 lakhs' and on the same day simultaneously the three accounts with the said firm of the minor donees were credited with a sum of Rs. 1 lakh each. THE Tribunal had presumed that the transfer was effected in the name of the minor donees as a result of the oral instructions given by the deceased to the firm.
(3.) IN support of their view, in particular, they relied on the following passage in Lindley on Partnership :