K.RAVIRAJA PANDIAN,J

At the instance of the Revenue, the Income Tax Appellate Tribunal set out a case and referred the following question of law for the opinion of this Court.

" Whether , on the facts and in the circumstances of the case, the Tribunal was right in law and had valid materials to disregard the sale price of the property as recorded in the agreement dated 21.2.1983 which was seized under Section 132 and holding that the market value was only Rs.76,000/- and restricting the addition to the total income of the assessee to Rs.36,000/- as against the addition of Rs.1,67,000/- made by the assessing authority ?"

2. The assessee, an individual entered into an agreement of sale on 21.2.1983 with one Arumugam for purchase of land in an extent of 0.75 acres with an uncompleted structure of Cinema Theatre for a total consideration of Rs.2,07,000/-. The said agreement was seized by the Revenue in the course of search conducted. The sale deed was registered on 2.3.1983 for a consideration of Rs.40,000/-. The assessee claimed that the expenditure laid out was only Rs.47,000/-,which includes the sale consideration of Rs.40,000 and other expenses towards registration and sta