TaxTMI 
TaxTMI 
2017 (3) TMI 108
X X X X Extracts X X X X
X X X X Extracts X X X X
....53C of the Income Tax Act, 1961 was not in compliance with the provisions of the Act and furthermore that the material discovered during the search in the circumstances of the case did not belong to the assesse/respondent." 4. Ms. Monika Ghai, Advocate accepts notice of appeal. With consent of counsel for the parties, appeals were heard finally. 5. The facts of the case are that the assessee provides Business Auxiliary services and also earns income by way of commissions/brokerage. It had declared over Rs. 1.85 crores in its return of income dated 30.09.2008. One of its Directors, i.e., Jatinder Pal Singh was subjected to search proceedings on 22.04.2010. In the course of the search, cash worth Rs. 2 crores was seized. In his residential ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....essee and the searched person, and the satisfaction note could not be termed defective. As to the other aspect, i.e., material "belonging" to the third party, learned counsel referred to the statement of Jatinder Pal Singh to say that it clearly pointed out that part of the cash seized from his premises belonged to the assessee in the present case. 9. Learned counsel for the respondents relied upon the judgment of this Court in Pepsico India Holding Ltd. vs. ACIT 370 ITR 295 as well as CIT v. Nikki Drugs & Chemicals Pvt. Ltd. (2016) 236 Taxman 305 to say that there was no proper satisfaction recorded within the meaning of the term as interpreted by the Court under Section 153C. 10. The AO in this case was common, i.e., had jurisdiction to....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... not have allowed the appeal only on this hyper technical ground with regard to the satisfaction note. Those findings are, accordingly, set aside. 11. In the present case too Jatinder Pal Singh was one of the Directors of the assessee. In the course of the search of his residential and other premises, he clearly stated that some cash seized in those premises belonged to the assesse. For the purposes of Section 153C, the satisfaction of the AO recorded was, in this Court's opinion sufficient. The satisfaction note in fact reads as follows: - Satisfaction Note u/s. 153C of the Income Tax Act, 1961 In the case of M/s Nav Nidh Overseas Pvt. Ltd. PAN No.AABCN3865G M/s. Nav Nidh Motels Pvt. Ltd. PAN No.AAACN4560B, D-6/1, Vasant Vihar, New De....