Dismissing the appeal of the revenue  the Court held that it was not in dispute that there was no violation of the two conditions laid down in section 12AA by the assessee. The activities carried on by the assessee were genuine. The Tribunal had examined the materials on record, and agreed with the trust’s contentions that the desire on the part of the trust was to acquire land which could be used for setting up an educational institution. The agreement to purchase agricultural land was executed in the name of the managing trustee since the trust should not have even entered into an agreement to purchase agricultural land. Equally, merely because donations were received that would not per se imply that the trust was operating along commercial lines. The Tribunal noted that the trust was running several self finance educational institutions. Collecting fees for such purpose would be part of the normal activities. The Tribunal was right in setting aside the order cancelling registration of the assessee. (AY. 2009-10)