Venkatachaliah, J.—This appeal raises a short but interesting question as to the scope of the revisional jurisdiction of the Commissioner of Income Tax to entertain a revision petition under section 264 of the Income Tax Act, 1961, at the instance of the assessee against that part of the appellate order of the Appellate Assistant Commissioner against which he is aggrieved in a case where the Revenue itself has preferred a second appeal to the Income Tax Appellate Tribunal from another part of the same first appellate order in respect of which the Revenue is dissatisfied.

2. The question arises this way : - The assessee is M/s. Hindustan Aeronautics Limited, respondent in this appeal. The assessment year is 1970-71. Against the order of the Income Tax Officer, the assessee preferred an appeal before the Appellate Assistant Commissioner on several grounds. The appeal was partly allowed and against that part of the appellate order which went against the assessee, the latter first preferred an appeal to the Tribunal, but later withdrew the appeal and involved the revisional jurisdiction of the Commissioner under section 264. In the meanwhile, the Department preferred an appeal t