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2018 (7) TMI 820 - ITAT HYDERABADUnexplained cash credits - presumption u/s. 292C against assessee - proof of the identity and creditworthiness of the company - Held that:- It is to be noted that the companies being enquired have invested in assessee-company in the Financial Year 2012-13 and how the statements of Shri Monohar Lal Nangalia and the so called statement of Shri Satish Shah, dt. 14-02- 2008 are relevant has not been explained either by the AO or by the CIT-DR. As seen from the assessment order, except relying on the report received from DDIT, there is no further evidence available with AO to hold that such companies are bogus. It is also true that the report from DDIT was received on 28-03-2016 and assessment has been completed on 30-03-2016 and there is no evidence placed on record that assessee was confronted with the above report, even though para 4.5 of the assessment order indicates that assessee was given a final show cause notice. The date on which it was given and the contents of the same were not placed on record in the paper book. It seems that assessee has appeared on 30-03-2016 the date on which assessment has been finalized, explaining all the evidences. Considering that the so called enquiry report is inconclusive and reliance on the so called statements of Shri Monohar Lal Nangalia taken in 2008 and 2014 have not been linked with the present investments of the above five companies, we are unable to rely on the evidence now placed on record by the Revenue in the form of Paper Book, that too without any prayer for admission of additional evidence. Surprisingly, Revenue has raised a ground that Ld. CIT(A) has violated Rule 46A, but when it came to their turn Revenue placed some unconnected statements which are not before AO or confronted to assessee at any point of time, before us to justify the stand of AO. It is also to be noted that this information has not been furnished to assessee either during the assessment proceedings or during the appellate proceedings. Therefore, no reliance can be placed on that. As pointed out by the Ld. Counsel, the provisions of Section 292C does not help the Revenue and the principles laid down by the Hon'ble Supreme Court in the case of CIT Vs. Sunita Dhadda (2018 (3) TMI 1610 - SUPREME COURT OF INDIA) will certainly apply to the facts of the case. - decided against revenue
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