2005 (12) TMI 579

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....f the assessment proceedings, came to the conclusion that the genuineness of both the loan transactions had not been established by the assessee. The Assessing Officer was of the view that the amounts allegedly borrowed by way of loans were actually assessee's own money which was pumped into his business in the garb of loans. The said amounts were, therefore, added back to the taxable income of the assessee in terms of section 68 of the Income-tax Act, 1961. Aggrieved by the said order the appellant-assessee appealed to the Commissioner of Income-tax who affirmed the view taken by the Assessing Officer and held that the genuineness of the two loan transactions had indeed not been proved satisfactorily. In a further appeal filed by the asses....

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....ibunal similarly held that the genuineness of the said transaction had also not been established and that the assessee's undisclosed money had in fact got routed through the bank account of M/s. SSPL. The Tribunal in the regard observed : "We have heard both the sides and considered the materials on the file. We are of the view that on the facts and in the circumstances of the case and for the reasons given in the impugned appellate order the Ld. CIT(A) was justified in confirming the aforesaid addition. The transactions were not genuine and were managed through colourable device. The sources of the deposits in the aforesaid bank account of M/s. SSPL were not satisfactorily explained and proved. Therefore, the amount shown as credi....