TMI Blog2014 (8) TMI 692X X X X Extracts X X X X X X X X Extracts X X X X ..... unity as stated by the AO - On the basis of the statement made by the donor, the burden has shifted upon the assessee as decided in Sumati Daya Vs. CIT [ 1980 (9) TMI 3 - SUPREME COURT] - the gifts are not genuine as stated by the AO as well as by the FAA - The Tribunal has deleted the addition merely only on the ground that no opportunity was provided for cross-examination - fact remains that assessee never availed it - transaction is not genuine but colorable thus, the Tribunal has wrongly deleted the addition, it is not desirable in the circumstances of the case - The money is routed indirectly from the firm to the assessee's account under the garb of the gifts Decided in favour of Revenue. - Hon'ble Tarun Agarwala And H ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the loan of ₹ 21,00,000/- each from his minor sons through their mother namely, Smt. Meenu Agrawal, wife of the assessee. The A.O. in its order, observed that the amount was given to Shri Surendra Bihari Agrawal, brother of the assessee on his retirement from the firm, out of which a cheque of ₹ 53 lacs was given to him. It is alleged that a sum of ₹ 11 lacs was given to each minor child of the assessee by their uncle Shri Surendra Bihari Agrawal. The minor children have given the gifts to father through mother. Thus, the total loan of ₹ 42 lacs was received by the assessee from his minor children. The A.O. found the said gifts was bogus and made the addition of ₹ 42,00,000/-, which was confirmed by the Fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... count. It is not in his knowledge that the amount has been deposited in his account. (ix) Shri Virendra Behari Agarwal, the assessee got his signatures by misrepresentation misrepresenting the fact that cheques are to be deposited for income tax. (x) Shri Surendra Behari Agarwal was working as an employee of the assessee during the year under consideration at Etawah, whereas the bank account of Shri Surendra Bihari Agarwal is lying with Union Bank of India, Ludhiana. The whole affairs are being managed by the assessee Sri Virendra Behari Agarwal. Shri Surendra Behari Agarwal signed the cheque as directed by Shri Virendra Behari Agarwal. About the cross-examination, he has drawn the attention to Assessment Order (Page 11), where it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... led by the Department may kindly be dismissed. After hearing both the parties and on perusal of the record, it appears that there was a dispute between the brothers and Shri Surendra Bihari Agrawal who had filed a suit against the assessee on 16.02.2003, where he has made the claim pertaining to the outstanding debt due. From the record, it also appears that Shri Surendra Bihari Agrawal was having own minor children, when it is so, then why he will give the gifts to the children of his brother. Further in his statement, he has categorically stated that no cheque was received from the firm and he has not given any gifts to anybody. Regarding the cross-examination, the assessee has not availed the opportunity as stated by the learned A.O. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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