Dismissing the appeal of the revenue the Court held that the assessee had not violated the terms of licence granted by the licencing authority, accordingly mere presumption and assumption from any documents or papers seized during the search and survey could not be the basis for addition of the amount. Tribunal had also recorded that there was no evidence of purchase or sale of unaccounted stock belong to the assessee during course of search or survey was found against the assessee.  Accordingly the deletion of addition is held to be justified. Court also held that where cash in hand in books of account was found to be more than actual cash found during search, at most, Authorities could have presumed that assessee had spent difference of amount somewhere, but that would not be sufficient to make addition to assessee’s income . (AY. 2008-09)