Dismissing the appeal the Tribunal held that reassessment rejecting the claim of capital gain was held to be justified . The fact that the surrender of the sale consideration of shares by the assessee had been made with the condition to buy peace could be relevant to the assessment proceedings and could be considered in the penalty proceedings. There was no error in the order of the Tribunal in so far as it had sustained the addition not only on the ground of surrender but also after disbelieving the genuineness of the transaction of purchase and sale of shares.( AY. 1998-99)