NARASIMHAM, J.

( 1 ) THE question that has been referred by the Income-tax Appellate Tribunal, calcutta branch, Patna, to us for opinion is as follows: "whether, in the circumstances of the case, the sum of RS. 8675/- is allowable either as a trading loss or an expenditure laid out or expended wholly and exclusively for the purposes of the business within the meaning of Section 10 (2) (xii) of the Act" (Presumably section 10 (2) (xii) is an error for Section 10 (2) (xv ).

( 2 ) THE facts found by the Tribunal are these:

( 3 ) THE assessee carries on the business of selling yarn, seculating on cotton and page 1 of 4 Banshidhar Onkarmal vs. Commissioner of Income-tax (06. 12. 1948 - ORIHC) accounting year commencing from 21-10-1941 and ending on 8-12-1942 on the ground that the said sum was stolen from the iron-safe inside his shop by one Jhaharmal who was a relation of the assessee and who was also working as the accountant of his firm during the year in question. The shop of the assessee used to be closed at about 8 P. M. and the iron safe containing the cash used to remain inside the shop. It was found by all the Income-tax authorities that the said Jhaharmal secured the keys of