Allowing the appeal the tribunal held  that the assessee had acquired electric meters in the assessment year 1996-97, which were disposed of during the year giving rise to capital gains taxable under section 50 of Rs. 39,99,990. The total capital gains earned during the year amounted to Rs. 54,38,407, and the balance capital gains were short-term capital gains on mutual funds. These capital gains were set off against carried forward capital loss for the assessment year 2001-02 of Rs. 90,12,331. Tribunal also held that   prior to amendment to sections 70 and 74 by the Finance Act, 2002, the carried forward capital loss was not bifurcated between short-term capital loss and long-term capital loss. The Special Bench of the Tribunal held, inter alia, (i) that provisions of section 74(1) as amended with effect from April 1, 2003, would apply only to long-term capital loss relating to assessment year 2003-04 and onwards and (ii) that restriction imposed therein in terms of setting off of long-term capital loss only against long-term capital gains and not against short-term capital gains is applicable only in relation to long-term capital loss incurred by the assessee in the assessment year 2003-04 and subsequent years and not to long-term capital loss relating to and brought forward from period prior to the assessment year 2003-04 which shall be governed by provisions of section 74(1)-prior to amendment made with effect from April 1, 2003.(AY..2005-06)