The assessee company then applied for a reference and the Tribunal referred the following questions for decision by the High Court: "(1) Whether, on the facts and in the circums tances of the case, the Income tax Officer was competent to pass an order under Section 23A(1) of the Act after having allowed a rebate of one anna per rupee in the assessment under the proviso (a) to paragraph (B) of Part I of the Second Schedule of the Finance Act, 1948? (2) If the answer to question No. 1 is in the affirmative whether on the facts and in the circumstances of the case, the assessee com pany is a company in which the public are substantially interested for the purposes of Section 23A of the Act? (3) Whether the loss of Rs. 12,75,000 incurred by the company prior to its reconstruction in 1930, could be taken into consideration for purposes of the applicability of Section 23A (1) of the Act?" The High Court, by the judgment under appeal answered the first two questions in the affirmative and in view of the answer to Question No. 2 it considered it unnecessary to answer the third.