When the Assessee Trust was unable to substantiate its contention that foreign travelling expenditure incurred by the trust for one of its trustees-was for the purpose of securing education exchange programme from a foreign university; such expenditure (in absence of any positive evidence) was held to be volatile of section 13(1)(c); accordingly disallowable. When the Assessee Trust had advanced loan to its trustee on which interest was charged; however, the same was never actually recovered; it was held that in absence of any evidence to support the loan transaction with the interested person; the said loan transaction was hit by provision of section 13(1)(c); accordingly added to income of the AssesseeTrust. Similarly, when the Assessee Trust had collected ‘outside training fees’ in cash; however as the Assessee Trust failed to provide any plausible explanation and sustainable evidence which substantiates that such fees was ultimately utilized only towards the charitable objects of the Assessee Trust; exemption under section 11 was rightly denied. Even though donation made by one trust to another trust having similar charitable objects is considered as application of income for charitable purpose; however, as the Assessee Trust was unable to substantiate the facts about such application; denial of exemption under section 11 was held to be justified.    (AY. 2009 10, 2011-12)