INCOME TAX OFFICER Vs. SAVITRI DEVI SEVA TRUST

JUDGEMENT

(1.) The material facts on record and proceedings leading up to this appeal are, inter alia, that by deed dated July 15, 1983, executed by Girdharilal Jagatramka, respondent No. 2, a public charitable trust, named, Savitri Devi Seva Trust, respondent No. 1, was created. On or about January 4, 1984, the Commissioner of Income-tax, West Bengal-VII, issued certificates respectively under Sections 12A and 80G of the Income-tax Act, 1961, certifying, inter alia, that respondent No. 1 had been duly registered and that it was an institution established in India for the prescribed charitable purposes.

(2.) On or about June 9, 1986, an agreement was entered into by and between the owners of premises No. 58/6, Prince Anwar Shah Road, Calcutta, hereinafter referred to as "the said property" and the six trustees of respondent No. 1 whereby the former agreed to sell to the latter, the said property consisting of land measuring 4 cottahs 13 chittacks and 18 sq. ft. and unfinished brick buildings and structures thereon on an "as is where is" basis for a consideration of Rs. 9 lakhs. A sum of Rs. 5 lakhs was paid by the said trustees by way of earnest money by seven several cheques.

(3.) The said agreement dated June 9, 1986, was entered into by and amongst the vendors of the said property, on the one hand, and Dinesh Chandra Bajoria, Suresh Kumar Bajoria, Arvind Bajoria, Smt. Sharda Bajoria, Smt. Kanta Bajoria and Smt. Lata Bajoria, the trustees to the said trust in their individual capacities, inasmuch as the vendors of the said property refused to enter into any transaction with respondent No. 1, a charitable trust.