Dismissing the appeal of the revenue the Court held that when the interest had been in allowed in the past and even in the relevant assessment year, the write off principal amount as bad debt is held to be justified. (AY. 2005-06, 2006-07, 2008-09)
CIT v. Nalwa Sons Investment Ltd. (2019) 416 ITR 263 (Delhi)(HC)
S. 36(1)(vii) : Bad debt-Interest allowed–Entitle to claim write off of principal.[S. 36(2)]