AI Drafter 
TaxTMI 
TaxTMI 
2017 (11) TMI 680
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....na For the Respondent : Mr. R.B. Mathur Mr. K.D. Mathur and Mr. Prateek Kedawat JUDGMENT 1. Since in all these appeals, common questions of law and facts and involved, they are decided by this common judgment. 2. Before proceeding with the matter, it will not be out of place to mention here that the statement was made by Mr. Jhanwar that everything is recovered by auctioning the house and the factory. Today, he stated that there is no scope for recovery of any amount from the appellant. However, the matter is decided by wasting the precious judicial time of more than 40 to 45 minutes by hearing both the counsel. Therefore, now we are proceeding with the matter. 3. By way of these appeals, the appellants have challenged the ju....
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....come Tax Appeal No.304/2008 admitted on 05.11.2008:- (i) Whether the provisions of Section 69 are attracted when the transaction of investment is duly recorded in the books of account and the source of such investment are reflected in the books of account itself? (ii) Whether it is correct to make additions u/s 669 of the Act on account of the alleged unexplained investment in respect of deposits in the bank when the same has been made out of assets/amounts available with the appellant at the beginning of the accounting year and subsequently out of the realization of the opening assets? D.B. Income Tax Appeal No.320/2008 admitted on 04.11.2008:- (i) Once the Income Tax Department has chosen to tax the com....
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....f this working, as discussed in th case of the director Shri V.M. Dawra, an amount of Rs. 11973000/- was admitted as undisclosed funds in promoters' quota. It transpired that in the absence of genuine sources, within the meaning of Sec.68 of the Act, the amount of Rs. 1.19 crores constitutes the undisclosed income of the assessee company, the actual source of which appears to be over capitalisation, for the asstt. Years 95-96. It may be mentioned that this working was in respect of the unaccounted investment channelised through the Director Shri V.M. Dawra." 6. He contended that in the case of Vimal Choudhary, one of the Director, the matter was remanded back to the authority and the relief was granted which was not challenged by the Dep....
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....rief facts and the case" and a note on "working on the basis of regular books, bank accounts and other information." The brief facts in the note are stated to have been supported by a number of annexures submitted with the said letter written regarding Dawra group cases and Terry Fab India Ltd. Duing the course of block assessment proceedings." 10. He has taken us to the provisions of Section 158 BC of the Income Tax Act and explanation thereto and contended that in view of the parity, the block assessment of the company when source of income is known, at the most observations which are made or statement which was recorded reads as under:- "Our working is being prepared and submitted to you without prejudice to assessee's claim ....
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....e we assert that an accountant investigation suggests that the unaccounted money has been originated in the hands of the company Terryfab (I) Ltd. (may be in the form of direct loan raised or advances taken or over capitalisation). After such origin the money has been channelised through a long route to make it difficult for anybody to relate back the source to the origin." and contended that the view taken by the tribunal is just and proper. 13. We have heard counsel for the parties. 14. First of all, on the question of company, in view of the fact that the original order which was passed under Section 256(1), in which relief was granted and permission was not granted by the Tribunal which was not challenged. In that view of the m....