1976 (9) TMI 47

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....O to bring material on record to justify and inference that the amounts entered in this diary represented undisclosed investment made by the assessee?" (2) Whether on the facts and in the circumstances of the case, the Tribunal was right in confirming the order of the AAC and upholding the deletion of Rs.1,165,000 added back as income from undisclosed sources and of Rs. 2,344 added back on account of suppressed detail receipts?" said to be questions of law, arising out of the order passed by the Appellate Tribunal on 13th April 1976 in ITA No.2123 (Alid) of 1974-75. The application is opposed by the respondent-assessee. Having heard the parties, we are of the opinion that no such question of law arises out of the said order and hence ....

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....osed income and also the dalali receipts of Rs. 2,344. 3. In this appeal before the Appellate Assistant Commissioner, the assessee contended that this diary weas not a genuine diary nor was it in the nature of a cash book and the entries appearing therein could not have been regarded as cash credits liable to be taxed under S.68. It was contended that the accounts appearing in the name of Smt.Sarala Devi did not belong to the assessee's wife and there was no basis for working out to peak credit at Rs.1,60,000. The Appellate Assistant Commissioner did not accept the first contention but held that the diary was not in the nature of a cash book but was only a memorandum book containing the record of loan transactions. He did not accept the ....

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....t the assessee had furnished complete particulars before the Income-tax Officer and since the very beginning his case had been that it was a bogus diary. Reliance was placed on certain decisions; K.S. Kannan Kunhi vs. CIT.1, CIT vs. Daya Chand Jain Vaidya and CIT vs. Anwar Ali. 5. The Appellate Tribunal observed that there were certain facts which could not be disputed. During the course of the search itself, the assessee in his statement stated that the blue diary was a genuine document while the red diary was fictitious document in which he used to make entries to impress his clients only. Upto 31st March 1969, he had been deriving income from brokerage in foodgrins only and from April 4, 1969, he started brokerage in financing. For th....