TMI Blog2008 (12) TMI 262X X X X Extracts X X X X X X X X Extracts X X X X ..... e order dt. 25th April, 2007 passed by the CIT(A)-V, Chennai and relates to the asst. yr. 2002-03. 2. The first issue relates to the allowability of depreciation on restrictive covenant. 3. We have heard the rival submissions in the light of the material placed before us and the precedents relied upon. The assessee company was carrying on the business as licensed surveyors and loss assessors u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a period of seven years and also to abstain from other activities which might jeopardize the business interests of the assessee company in any manner. In consideration thereof the assessee paid a sum of Rs. 1 crore to Shri Srivatsan. 5. The assessee company was incorporated on 19th May, 1997. Shri Srivatsan was the promoter director having 50 per cent shareholding therein. Shri Srivatsan used to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nsurance survey, loss assessment and valuation of assets in his individual capacity. IRDA made it clear that there was no legal bar on the individual director from practising as a surveyor in his individual capacity after surrender of the licence to act as a corporate entity. On this factual backdrop payment of the non-compete fee in relation to restrictive covenant was found to be a subterfuge. A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 'a new car 'or an item of jewellery'. The dictum of Ejusdem Generis refers to similar situation. It means of the same kind, class or nature. The rule is that when general words follow particular and specific words of the same nature, the general words must be confined to the things of the same kind as those specified. Noscitur a Sociius is a broader version of the maxim Ejusdem Generis. A man may ..... X X X X Extracts X X X X X X X X Extracts X X X X
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