IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.1280 OF 2000 The Commissioner of Income Tax ...Appellant Versus XLO India Ltd. ...Respondent ...... Mr.A.D.Kango i/b Mr.R.N.Bandopadhyay for Appellant. Mr.S.G.Dalal for Respondent. ...... CORAM: SWATANTER KUMAR, C.J. & CORAM: SWATANTER KUMAR, C.J. & CORAM: SWATANTER KUMAR, C.J. & V.M.KANADE, J. V.M.KANADE, J. V.M.KANADE, J. DATED: JUNE 25, 2008. DATED: JUNE 25, 2008. DATED: JUNE 25, 2008. P.C. P.C. P.C. 1. Challenge in the present Appeal is to the order passed by the Income Tax Appellate Tribunal dated 26th April 2000. The question of law proposed to be framed in the present appeal reads as under: "Whether on the facts and in the circumstances of the case, the Tribunal was right in law in deleting the proportionate disallowance of interest on the interest free loans and advances to : 2 : sister concerns?" 2. We may notice that the above question, in the facts and circumstances of the case, can hardly be treated as substantial question of law, inasmuch as, it is purely based on given facts of the case. The Tribunal in the impugned order had clearly held that the Department had failed to prove any nexus between the borrowed funds and the advances alleged to have given to the sister concern. It was also noticed that in the earlier years, the view of the Tribunal was in favour of the assessee and even for the consistent years, the same view was followed by the Tribunal. It is not even the case that for the earlier financial year relating to the same assessee, the Department has questioned the correctness of the order of the Tribunal successfully. No question of law. Dismissed. Sd/- CHIEF JUSTICE Sd/- V.M.KANADE, J.