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2014 (7) TMI 561 - HC - Income TaxUnexplained investment in stock - Whether the Tribunal is justified in coming to the conclusion that retraction made by the assessee from the statement u/s 133(A) of the Act is legal and proper – Held that:- The AO solely relied upon the statement of Shri Kishorbhai Mohanlal Karia recorded at the time of search on 4.1.2007 which subsequently came to be retracted and / or explained within the period of 19 days i.e. 23.01.2007 - as such except statement recorded at the time of search which was subsequently retracted, there was no other material and / or corroborative material with the AO, on which, the addition of ₹ 6 lacs in the hands of Shri Kishorbhai Karia and ₹ 7,00,500/cash in hand and ₹ 25,50,320/as unexplained investment in stock in the hands of the assesse M/ s. M.P. Scrap Traders can be justified. Tribunal was of the view that in the case of CIT Vs. S. Khader Khan Sons [2013 (6) TMI 305 - SUPREME COURT] it has been held that the principle that Section 133A of the Act does not empower any I.T. authority to examine any person on oath and therefore any admission made in survey cannot by itself be made a basis for addition - the AO had no other material and / or corroborative material to justify the additions except the confessional statement of Shri Kishorbhai Karia recorded on 4.1.2007 which was subsequently retracted within a period 19 days and the same came to be explained with respect to additions – there was no reasons to interfere with the judgment and order passed by the Tribunal – Decided against Revenue.
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