Uday Sinha, J.

1. In this reference under Sec.256(1) of the Income-tax Act, 1961, we are concerned only with the assessment year 1949-50. The accounting period of the assessee was from Diwali to Diwali, i.e., year commencing from October, 1947. The assessee is a Hindu undivided family. The questions referred to us for our opinion are:

"1. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that reopening of the assessment for the assessment year 1949-50 under Sec.147(a) was valid in law ?

2. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in setting aside the order of the Appellate Assistant Commissioner and directing him to reconsider the sources of the repayment of loan to the extent of Rs. 1,52,500 ?"

2. The assessee was assessed for the assessment years 1948-49, 1949-50 and 1950-51. Assessment orders were passed on December 25, 1948, October 31, 1951, and October 31, 1951, respectively. Several years later on February 21, 1965, the Income-tax Officer sent a proposal to the Central Board of Direct Taxes seeking their approval to reopen the assessment for the aforesaid three years. In the