Per Pradeep Parikh, AM - The department is in appeal before us against the order of the ld. CIT(A) dated 17-10-1994 for assessment year 1991-92. The only ground raised in the appeal is against the deletion or disallowance of Rs. 1,83,500 made on account of bad debts.

2. The assessee individual, besides trading in optical frames and lenses, is also a money lender. For the year under appeal it had declared loss of Rs. 1,83,500 from money-lending business. The assessee had advanced a sum of Rs. 1,83,500 to one Shri Shankarlal of Ichalkaranji and it was written off in the books of account by the assessee on 31-3-1991 as irrecoverable debt. According to the Assessing Officer the assessee had written off the debt within a very short time, namely within 2 months only and this according to him was highly improbable for a money lender to do. He rejected the explanation of the assessee that the same was written off on humanitarian grounds. The claim for deduction of bad debts was, therefore, rejected. The CIT(A) deleted the addition on the ground that after the amendment in section 36(1)(vii) there was no need for the assessee to show as to what steps had been taken for recovery, and wri