When the matter was pending, the  Assessing Officer completed assessment pursuant to search and seizure operation under section 153A  of the Act. Commissioner passed the revision order however  the Commissioner did not consider effect of order passed under section 153A by stating that it was irrelevant and Commissioner proceeded to pass order under section 263 of the Act.  Tribunal held that Principal Commissioner while exercising his jurisdiction under section 263 was bound to look into subsequent action of Assessing Officer i.e. reassessment order under section 153A, wherein no adverse inference was drawn against share capital/premium collected by assessee during year under consideration and same had been accepted after enquiry. Tribunal also held that   under section 263, Principal Commissioner had to examine all records pertaining to assessment year at time of examination by him, which included, post-search assessment proceedings and thereafter only if he found that order passed by Assessing Officer on any issue was erroneous insofar as it was prejudicial to interest of revenue, then only he would interfere by enhancing/modifying/cancelling assessment order. High Court affirmed the order of the Tribunal. (AY. 2009-10)