COMMISSIONER OF INCOME-TAX Vs. RADHEY MOHAN

JUDGEMENT

(1.) THIS judgment will dispose of Income-tax Appeals Nos. 18 to 25 of 1977 which arise out of the same judgment of the Income-tax Appellate Tribunal, Amritsar, dated February 25, 1977.

(2.) BRIEFLY the facts are that the property in dispute belonged to Shri Sardari Lal (hereinafter referred to as "the transferor" ). He completed its construction on March 31, 1970. It is a two and a half storeyed building. The ground floor was given by the transferror on lease to Radhey Mohan at a monthly rent of Rs. 480 on April 1, 1970.

(3.) THE first floor of the building was in occupation of the transferor himself. He filed a suit for ejectment against the tenant on December 17, 1972, and obtained a decree on September 5, 1973, on the basis of a compromise. On September 4, 1973, the transferor agreed to sell one-fourth share of the property to Radhey Mohan, tenant (hereinafter called "the transferee"), for a consideration of Rs. 27,500. Three more agreements to sell were entered into by the transferor subsequently, two with Brij Mohan, transferee, and one with Radhey Mohan, transferee, for one-fourth share each. Brij Mohan is the brother of Radhey Mohan. In pursuance of the agreement, the property was sold by the transferor in favour of Radhey Mohan and Brij Mohan for a consideration of Rs. 1,10,000. The two sale deeds were executed in favour of Brij Mohan for one-fourth share each in December, 1973, and June, 1974, and two sale deeds in favour of Radhey Mohan for one-fourth share each in January and June, 1974.