K.S.Hegde, J.

(1) THE question of law which we have to consider in this appeal by certificate is "whether, on the facts and circumstances of the case, the sum of Rs. 10,55,025.00 due from Kunwar Ganesh Singh was allowable as a bad debt under S. 10(2) (xi) of the Income Tax Act". Both the Tribunal as well as the High court had held against the department on the point in issue.

(2) THE facts of the case are fully set out in the statement of the case submitted by the tribunal to the High court. It is sufficient to extract the facts as set out in that statement:

"2. The statement of the case relates to the assessment year 1957- 58. For this assessment year, the assessee changed his previous year into the financial year, and consequently, the previous year for the present assessment year covered a period of 18 months ending on 31/03/1957. The assessment has been made in the status of individual.

3. The assessee succeeded to the impartible estate of the Darbhanga Raj after the death of his father. Sir Maharajadhiraja Rameshwar Singh, on 3/07/1929. During his lifetime Sir Maharajadhiraja Rameshwar Singh carried on extensive money lending business.

4.