Concept of block+ capital gain

Hi

Our Client (Pvt Ltd Co.) has opening balance of flat of rs.50Lacs W.D.V During the Previous year assesee sold the flat near about Rs. 2 Cr. and purchased 1 Flat App 1.85 Cr in the same F.Y. The assessee has used block concept despite of fact he has not charged any depreciation on the opening block Value (I.E in any F.Y). We are know want to know whether section 50 are applicable in this case to avoid capital gain u/s 45 or we are liabale to pay capital gain tax on sale of property. please advice if any case law available are in this reference.

Thanks in anticipation