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TMI Blog2015 (10) TMI 2417X X X X Extracts X X X X X X X X Extracts X X X X ..... ly not for the benefit of public as a whole but rather are confined to specific members only and the Tribunal at para-9 of its order following the decision of the Hon’ble Supreme Court in the case of Surat Art Silk Cloth Manufacturers Association (1979 (11) TMI 1 - SUPREME Court) has held that object which seeks to promote or protect the interest of a particular trade or industry are object of public utility and finally held that the objection of the DIT for denying registration on this ground is therefore found to be without any basis. Considering the similarity in the facts of the case in hand with the facts of the judicial decisions referred to hereinabove, we are of the considered opinion that the DIT (Exem) have grossly erred in reject ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... objects, its application for registration should not be rejected. The assessee filed a detailed reply vide letter dated 20.9.2013 which is exhibited at page-2 of the order of the DIT (Exemption). 3.2. The submission of the assessee did not find any favour with the DIT who was of the strong belief that there is the existence of noncharitable/ commercial objects in the Memorandum of Association (MOA) of the applicant company. The DIT rejected the application for grant of registration. 4. Aggrieved by this, the assessee is before us. 5. The Ld. Counsel for the assessee argued at length stating that the DIT has not appreciated the objects of the company properly. It is the say of the Ld. Counsel that the DIT has completely ignored the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rvices. No object of the company shall be carried out without permission from competent authority whomsoever and no object of the company shall be carried out on commercial basis. 8. It is further provided in the Articles of Association at clause 65 under the head Application of Profit The property, capital and income of the company however derived shall be applied solely towards the promotion of the objects of the company and no portion thereof shall be paid by way of bonus or otherwise to the Members. 9. Coming back to the objects of the company, it seems that the Ld. DIT(Exem.) has been carried away by the fact that the object relates to those in the business of distribution of technology products. This has been understood ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... objects, it is not intended to serve merely the interests of the members of the assessee. Advancement or promotion of trade, commerce and industry leading to economic prosperity enures for the benefit of the entire community. That prosperity would be shared also by those who engage in trade, commerce and industry but on that account the purpose is not rendered any the less an object of general public utility. It may be remembered that promotion and protection of trade, commerce and industry cannot be equated with promotion and protection of activities and interests merely of persons engaged in trade, commerce and industry . 9.2. A similar view was taken by the Hon ble Supreme Court in the case of Bharat Diamond Bourse(supra). The decis ..... X X X X Extracts X X X X X X X X Extracts X X X X
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