Reassessment reopening based on STR-linked alleged circuitous related-party transactions quashed for no tangible material or ignored evidence

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....Reopening under Sections 147/148 was challenged on the ground that the "reason to believe" was founded only on an allegation of "circuitous" related-party transactions reflected in an STR, without any tangible material showing income escaping assessment. The authority neither recorded any finding of cash exchange or money returning to the assessee nor doubted or examined the documentary evidence and explanations demonstrating full disclosure and justification of income. Since the formation of belief was unsupported by material and the assessee's submissions were not considered, the reopening proceedings were held unsustainable, and the notice and consequential order were quashed. - HC....