Whether disallowance of loss on account of purchase and resale of UTI units should be restricted to the extent of dividend brought to tax by the AO

Eveready Industries India Ltd Vs CIT, Kolkata (Dated: March 04, 2011)– Income Tax- Sections 10(33), 14A, 94(7) – Whether dividend stripping is allowable- Whether a premeditated transaction by virtue of which an assessee earns tax free income and squares off profits with losses is permissible if it is within the four corners of law. – Assessee’s appeal allowed: CALCUTTA HIGH COURT.