TaxTMI 
TaxTMI 
2025 (2) TMI 1526
X X X X Extracts X X X X
X X X X Extracts X X X X
.... impugned order deleting the substantive addition of Rs.4,66,09,558/- made on account of unexplained cash and jewellery found in the lockers & vaults provided by Faqir Chand Lockers & Vaults Private Limited (the assessee is the director of this Company) to some whose KYC were not completely and properly maintained so that such persons were not identifiable. The Revenue has also raised one of the grounds as the impugned order is perverse. 3. The relevant facts giving rise to this appeal are that Faqir Chand Lockers & Vaults Private Limited is engaged in providing Lockers & Vaults on lease rent to its customers. The assessee is the director of Faqir Chand Lockers & Vaults Private Limited. Various lockers & vaults situated in the premises o....
X X X X Extracts X X X X
X X X X Extracts X X X X
....contents found in these unclaimed lockers belong to the appellant. The appellant submitted that the Annexures mentioned in the seizure memo of the lockers are nothing but simply the memos of cash and jewellery seized from these lockers. He had further submitted that there is no reference of any seized material/documents in the satisfaction notes which indicate that the appellant was the owner of contents in these lockers. Accordingly, the appellant emphasized that the recording of satisfaction that the seized cash and jewellery belong to the appellant was not legally correct and was without appreciation of material available on record. 10.4 The appellant further submitted that the details of all the locker owners available in its r....
X X X X Extracts X X X X
X X X X Extracts X X X X
....assessment proceeding the identity and whereabouts of its allottees/ holders. On perusal of assessment order of the Company and the appellant it has been observed that they failed to discharge their obligation of identifying their clients or the real owners of lockers. The AO made efforts to find the persons mentioned in the record of the company but owners claimed (unexplained) by the Company could not be found. In such circumstances, the unclaimed assets needs to assessed in the hands of its owner / custodian as per the provisions of section 132(4A) r.w.s. 69A of the Act. The question now is who can be treated to be the deemed owner of these lockers? The AO assessed the contents in the hands of appellant being the Director of the Company ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....stead it can be justifiably invoked against the Company. 10.6 Accordingly, I hold that the unclaimed cash and jewellery amounting to Rs.4,66,09,558/- shall be added in the hands of M/s Faquir Chand & Vaults Pvt. Ltd. 10.7 In view of above facts the addition made by the AO in hands of appellant is deleted and same is sustained in the hands of M/s. Faquir Chand & Vaults Pvt. Ltd. in appeal No.10452/2018-19." 4. The Ld. CIT-DR, emphasizing various paras of assessment order, argued the case vehemently and prayed for dismissal of the appeal. None attended on behalf of the respondent assessee. 5. We have heard the Ld. CIT-DR and have perused the material available on the record. The impugned order is very well reasoned. Fa....