Tribunal held that where the  interest free funds available with assessee by way of capital and reserves were far more than investment made in shares yielding exempt divided income, a presumption would be  in favour of assessee for deemed utilization of interest free funds for investments yielding tax free income in preference to borrowed funds.  Tribunal also hed that disallowance of expenditure cannot exceed exempt income.  (AY. 2008 09,  2010-11)