( 1 ) THE petitioner, M/s. Kusum Products Ltd. (hereinafter "the company "), has its registered office at 9, Brabourne Road, Calcutta. It carries on business in the manufacture and sale of vanaspati and other products. On July 30, 1974, the company filed a return of income for the assessment year 1974-75, under the signature of one Kundanmal Lakhotia, who at the material time was the accountant and also the constituted attorney of the company.

( 2 ) ON March 27, 1979, the opposite party, Sri S. K. Sinha, ITO, Central Circle-X, Calcutta, filed a petition of complaint in the court of the Chief Metropolitan Magistrate, Calcutta, against the company and Kundanmal Lakhotia alleging the commission of an offence punishable under Section 277 of the I. T. Act, 1961 (hereinafter "the Act" ). It was alleged, inter alia, that in the aforesaid return the company had shown a total profit in its business amounting to Rs. 66,62,114 from which a total amount of deduction amounting to Rs. 12,89/107 was claimed. The deduction included a sum of Rs. 1,14,212 which was received by the company as interest on advance income-tax paid for the assessment year 1967-68. It was further alleg