Electronic evidence and section 65B compliance govern jurisdictional satisfaction for section 153C proceedings; uncertified records cannot sustain initiation.

Electronic records used as the basis for jurisdictional satisfaction under section 153C must comply with section 65B of the Evidence Act, 1872. Where the seized electronic material was relied upon to link the assessee to alleged expenditure and no section 65B certificate was available on the assessment record, the Tribunal held that the record could not be safely acted upon for initiating proceedings. The challenge on that ground succeeded, and the initiation founded on the uncertified electronic record was unsustainable. The separate issue concerning approval under section 153D was left open.

---

---

Issues: Whether the initiation and continuation of proceedings under section 153C could be sustained where the seized material relied upon was electronic record and no certificate under section 65B of the Evidence Act, 1872 was available.

Analysis: The order proceeded on the basis of an electronic record found during search. The record was relied upon to link the assessee to the alleged expenditure and to form the foundation for the jurisdictional satisfaction. The Tribunal noticed that the authenticity and admissibility of that electronic material depended on compliance with section 65B of the Evidence Act, 1872. Since no certificate verifying the electronic record was available on the assessment record, the material could not be safely acted upon for the purpose of recording satisfaction and initiating action under section 153C.

Conclusion: The challenge on this ground was accepted and the initiation based on the un-certified electronic record was held unsustainable.

Final Conclusion: The appeal succeeded to the extent that the jurisdictional foundation based on electronic evidence failed, while the separate issue regarding approval under section 153D was left open.

Ratio Decidendi: Electronic records relied upon for jurisdictional satisfaction must satisfy the statutory requirement of a certificate under section 65B of the Evidence Act, 1872, and in the absence of such compliance, action founded on that record cannot be sustained.

---