https://www.taxtmi.com/caselaws?id=69515 Amounts placed with companies by way of loan receipts or fixed deposit receipts in form only were treated on their substance as loans, not investments, so the prohibition in section 13(2)(h) did not apply. Personal guarantees of the directors were held to be security within the wide meaning of section 13(2)(a), and their net worth was sufficient to make the security adequate, so the exemption was not lost on that ground. The institution was also described as existing solely for educational purposes, with the interest income incidental to and supporting that activity, so exemption under section 10(22) was available as well. en-us Fri, 24 Feb 1984 00:00:00 +0530 Thu, 07 Apr 2011 14:10:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=69515 Amounts placed with companies by way of loan receipts or fixed deposit receipts in form only were treated on their substance as loans, not investments, so the prohibition in section 13(2)(h) did not apply. Personal guarantees of the directors were held to be security within the wide meaning of section 13(2)(a), and their net worth was sufficient to make the security adequate, so the exemption was not lost on that ground. The institution was also described as existing solely for educational purposes, with the interest income incidental to and supporting that activity, so exemption under section 10(22) was available as well. Case-Laws Income Tax Fri, 24 Feb 1984 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=69515