Assessing Officer passed an assessment order under section 143(3) and disallowed short-term capital loss. Subsequently, a search was conducted at the premises of the assessee and an assessment under section 153A and section 143(3) for block period of six years was made. The  Assessing Officer did not disallow short-term capital loss. Tribunal held that abatement of earlier assessment proceedings did not take place. On passing of subsequent assessment order under block regime, earlier assessment order stands re-opened, and previous order stands merged in subsequent assessment order and becomes inoperative. Court held that previous assessment order(s) of the block period become infructuous or unenforceable, irrespective of whether or not the issue or demand allowance/disallowance that was made previously has been dealt with and incorporated. Since there was no disallowance of short-term capital loss in case of the assessee in the subsequent order, such position would prevail. (AY. 2006-07)