Assessee received certain compensation on compulsory acquisition of his land by RIICO. In return of income, assessee offered said receipts to tax as long term capital gains and claimed exemption under section 54F on account of sale consideration deposited in Capital Gain Account Scheme 1988. AO held that the said account was not a Capital Gain Scheme Account and, therefore, denied exemption under section 54F of the Act.  On appeal the Tribunal held that the entire compensation stood deposited in savings bank account maintained with HDFC bank which was opened specifically for purpose of depositing compensation received by assessee and withdrawals had been limited to extent of purchase of plot of land and partial construction.  Therefore, assessee’s claim for deduction under section 54F could not have been denied on ground that amount of compensation received had not been deposited in Capital Gains Account. Further, fact that said bank account of assessee was attached by Department, there was no way assessee could have met deadline for constructing new house, being three years from date of transfer of original asset . Accordingly   claim of deduction was allowed. (AY. 2009-10)