1. Delay in filing the respondent's appearance is condoned.
2. Leave granted.
3. These appeals arise on references to the High Court of Kerala (see [2001] 248 ITR 740) of questions of law under section 256(1) of the Income-tax Act, 1961. The High Court has come to the conclusion that it is not necessary for it to answer the questions but that the matter requires fresh consideration at the hands of the Tribunal, in view of what is stated, principally, in paragraph seven of its judgment.
4. It is, fairly, not disputed that the approach of the High Court is not correct and that the High Court ought to have answered the questions that were referred to it, having regard to the facts found by the Tribunal and on the basis thereof. Accordingly, it is necessary to restore the references to the file of the High Court to be heard and disposed of afresh, having due regard to the jurisdiction of the High Court in such matters.
5. The appeals are allowed. The order under appeal is set aside. The references (I. T. R. Nos. 280, 281 and 282 of 1997 (see [2001] 248 ITR 740)) are restored to the file of the High Court of Kerala to be heard and disposed of afresh.
6. No order as to costs.