JUDGMENT

VENKATARAMIAH, J. :—The petitioner is the proprietor of M/s. Ratnam Food Stuff Co. Tuticorin. He is an assessee under the Income-tax Act, 1961 (hereinafter called the Act). For the assessment year 1977-78, he filed his return under the Act on January 2 1 978 disclosing an income of Rupees 13,380/- along With the profit and loss account, trial balance, income-tax adjustment statement and a copy of the capital account. The return was accepted. On August 20 and 21, 1981, a search wag conducted at the residence of the petitioner under Sec. 132 of the Act which resulted in the seizure of several documents and account books which revealed the suppression of purchase of chicory seeds, the existence several bank accounts, fixed deposits investments in the names of his wife and daughters and several bank accounts not disclosed in the statements filed along with the return. The trading and profit and loss account for the assessment year 1977-78 filed along with the return showed that he had purchased chicory seeds of the value of. Rs. 65,797/- as against. Rs. 2,15,729/- as per the seized accounts. There were several other wrong statements in the accounts. On the basis of the allegat