TaxTMI 
TaxTMI 
2025 (2) TMI 1141
X X X X Extracts X X X X
X X X X Extracts X X X X
.... Mishra, Advs., Mr. Siddhartha Sinha, SSC and Ms. Anu Priya Nisha Minz, Adv. JUDGMENT YASHWANT VARMA, J. (Oral) 1. The writ petitioner has instituted these two petitions assailing the reassessment action commonly initiated for Assessment Year [AY] 2016-17. The reasons which appear to underlie the preferment of two separate writ petitions would appear to be the allegations in the reopening notice being against Top Most Investment Pvt. Ltd. [Top Most Investment] and YK Securities Pvt. Ltd. [YK Securities], both of which entities ultimately merged with Glider Investment Pvt. Ltd. [Glider Investment] and whose name now stands changed to Kunte and Drabu Consultants Pvt. Ltd [Kunte & Drabu]., the writ petitioner before us. 2. Al....
X X X X Extracts X X X X
X X X X Extracts X X X X
....09-10-2014 to 08-10-2015 amounted to Rs. 10.68 crores, out of which Rs. 9.39 crores is through transfer Rs. 1.25 crores is through RTGS and total debits during the same period amounted to Rs. 10. 68 crores, out of which Rs. 9.67 crores is through transfer and Rs. 1 crore is through RTGS. As per EDD, customer is in investments and financial services. Customer is operating from owned commercial premises with less than 500 square feet. On 07-10-2015, the account was credited with Rs. 1 crore through transfer from Shubhankar Nagar (022101514708 in this account funds were credited through transfer from VALUE IND. LTD) and on same day entice amount was debited through transfer to Trend Electronics Ltd (663805014486 in this account funds were debi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....bank statements, the following can be deduced: (i) The total of Debit and Credit is almost identical without any rationale/business purpose behind such to and for transactions that too of identical amounts and within the same entities. (ii) The assessee Videocon Industries Limited (VIL) has given interest free loans to entities mentioned above (Videocon Group entities and Entities owned by ex Board Director of Videocon industries Limited [M/s. Top Most Investment Pvt Ltd and M/s. Y K Securities Pvt Lt] in respect of Loans taken on interest. (iii) VIL has advanced interest bearing funds to the above mentioned entities and has failed to offer any explanation behind the rationale for the same. Further, the above ment....
X X X X Extracts X X X X
X X X X Extracts X X X X
....cted hereinabove, the principal allegation appears to be that Videocon Industries Ltd. [Videocon] had utilised financing and credit facilities granted to it to provide interest free loans to various entities, including Top Most Investment, YK Securities and Glider Investment. It is these allegations which are set out in paragraph 3 (ii) of the Section 148A(b) notice. 6. Responding to the same, the petitioner appears to have asserted that the allegations as levelled were wholly vague and unfounded since although the income which is stated to have escaped assessment had been quantified at INR 37,53,91,921/-, the total credit which had been shown in the accounts of Top Most Investment and YK Securities were as per the case of respondents th....
X X X X Extracts X X X X
X X X X Extracts X X X X
....I bank account of YK Securities Pvt. Ltd. it is observed that bank branch address is different in different pages of the statement. Therefore, it remains unproved that the copy of documents including bank statements, are genuine. Thus they require deep scrutiny and independent third party verifications are required to check the authenticity of the documents copy of which have been provided by the assessee. As the submissions are self-serving, therefore they are not acceptable. In view of the facts and information available with this office as discussed above, it is established that the assessee has no satisfactory explanation with supporting documents for issue discussed above. In the light of the facts discussed in forego....
X X X X Extracts X X X X
X X X X Extracts X X X X
....o so. However, we do not propose to hold against the respondents solely on this technicality. 12. We find the challenge raised by Mr. Pardiwalla, namely, of the alleged income not being taxable in the hands of either Top Most Investment, YK Securities or Glider Investment to be more potent. This since the solitary allegation which is levelled is a diversion of funds by Videocon to YK Securities, Top Most Investment and Glider Investment. Even if it were assumed to be correct that the Videocon had diverted funds and credit facilities provided by banks and financial institutions to third party entities, it would have at best and perhaps led to the deletion of any claims towards interest paid that may have been made by that entity. We fail ....