Technical Know how

Dear Colleagues, One of my clients had transferred his technical knowledge and received an amount of Rs.10 Lakhs. This amount is for transfer of his technical knowledge base only and not for the transfer of right to manufacture. The issues are : 1) Is this amount a revenue receipt or capital receipt in the hands of recipient? 2) Is there any capital gain liability (the cost of acquisition is ZERO) ? 3) Is the assessee receiving technical know-how can claim depreciation on this amount of Rs. 10 Lakhs? Please clarify and quote the case laws if any.