The Hon’ble Tribunal acknowledged the assessee’s contention that the provisions of section 94(4) of the Act cannot be invoked unless and until the relevant income is brought to tax in the hands of the counter party under section 94(4) of the Act i.e. unless the interest arising and accruing from the security is deemed to be the income of the owner who transferred the securities to the assessee in terms of section 94(1) of the Act hence the loss cannot be disallowed in the hands of the assessee. Relying on coordinate bench ruling in Growmore Leasing and Investment Ltd v. DCIT (ITA No.2192/M/2015 dated 17.11.2017), the Hon’ble Tribunal allowed set off of losses. (AY. 1992-93)