M.Katju, J. - (1.) This is an appeal under Section 260A of the IT Act challenging the order dt. 15th Oct., 1999, of the Tribunal, Allahabad. This appeal and connected appeals ITA Nos. 72 of 2003, 36 of 2000, 38 of 2000, 40 of 2000, 154 of 2000 and 155 of 2000 are being disposed of by a common judgment.
(2.) Heard Shri Bharatji Agarwal, learned senior standing counsel for the Department, and Shri Percy Pardiwalla and Shri S.D. Singh for the respondents.
(3.) We have carefully perused the record. The respondent-company is a company registered under the Indian Companies Act. In the order of the CIT(A) in ITA No. 154 of 2000, it is mentioned that as per the memorandum of association the objects for which the company was established are : "1. To establish, promote, conduct, manage, maintain, improve, regulate, run, work and control the different types of schemes for encouraging the habit of savings and wise economy amongst the public on scientific, practical lines and also help men, women and children for their economical, social and educational welfare through its schemes. The company shall carry on business as per the guide lines of RBI directives but shall not carry on business of chain letters, prize chit schemes, money circulating schemes, chit funds auction, nor the banking business as defined under the Banking Regulation Act, 1949, or any other scheme banned by any law. 2. To buy, sell, invest or otherwise deal in securities, bonds or fixed deposits issued by any institution, body corporate, corporation, established or constituted under any central or state enactments or in other securities in which the company may be required to invest under any law in force.";