2022 (1) TMI 1043

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....s : S.P. Walimbe ORDER Per R.S. Syal, VP This appeal by the assessee is directed against the order passed by the CIT(A) on 20-09-2017 confirming the disallowance of Rs. 1,03,03,190/- made by the Assessing Officer (AO) u/s. 36(1)(iii) of the Income-tax Act, 1961 (hereinafter also called 'the Act') in relation to the assessment year 2011-12. 2. Succinctly, the facts of the case a....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....d. The AO has not accepted the assessee's contention of having advanced money to UBPL, its sister concern, for business purposes. In fact, the assessee failed to substantiate the advancement of such money to its sister concern for any business purposes. However, it is seen that the assessee's share capital with Reserves and Surplus as at the end of the year stands at Rs. 96.55 crore with t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....owed on the basis that the investments were made out of interest bearing funds. In reaching this conclusion, the Hon'ble High Court relied on the judgment of the Hon'ble Supreme Court in the case of East India Pharmaceutical Works Ltd. Vs. CIT (1997) 224 ITR 627 (SC). Similar view has been taken by the Hon'ble Dehi High Court in CIT vs. Tin Box Company (2003) 260 ITR 637 (Del), holding....