K PACKIRISAMY NADAR Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE assessee, Sri Packirisamy Nadar, Udaiyandu, Peravurni Taluk, Thanjavur District, is an agriculturist. It appears that the assessee purchased a lottery ticket of the Manipur State Lottery in the draw held on February 28, 1988. THE lottery ticket he purchased, it is said, won the second price of Rs. 11,00,000. He appeared to have deposited the prize winning ticket the State Bank of India, Thiruthuraipoondi, at the first instance. For some reason or other, he appeared to have got back the lottery ticket from the State Bank of India, Thiruthuraipoondi, and handed over the same to the lottery agents, Mr. N. Devarajan and T. Kalyanasundaram. Through the said lottery agents, he appeared to have received Rs. 6,23,000. He would claim that the said lottery ticket had been purchased jointly by him, his two sons and two daughters-in-law. He would further claim that he had taken Rs. 1,23,000 to his share and the balance amounts was given equally to his two sons and two daughters-in-law. This sort of a claim of the assessee was not at all acceded to in view of his sworn statement that he alone purchased the ticket and initially deposited the same for encashment with the State Bank of India, Thiruthuraipoondi. It was also ascertained from the Joint Director (Lotteries), Government of Manipur, that the said prize winning ticket HBC 202136 of the 120th draw (Bumper) of Manipur State Sports Lottery held on February 28, 1988, had been submitted by one Mr. Bhalchand Krishna Karter of Bombay.

(2.) SINCE the assessee had not submitted the prize winning ticket himself, and encashed the amount and received a sum of Rs. 6,23,000 through lottery agents, the said amount was treated as income from other sources and he was taxed accordingly by the Assessing Officer.