CIT(E)  rejected the assessee’s application for regular approval under S. 80G(5) by holding that it is not purely a charitable trust without recording any finding that there is a violation of. R. 11AA(2)(g). Tribunal restored back to the CIT(E) to examine the accounts of three preceding years; in case there are no expenses exceeding 5 per cent on religious activities, approval under s. 80G(5) is allowable to the assessee if the assessee fulfils all other conditions.