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2017 (2) TMI 389 - HC - Income TaxUnexplained cash credit - credit worthiness of 56 shareholders have not been proved - proof of identity, genuineness and credit worthiness of the subscribers - Held that:- We find that the Appellate Authority found that along with the affidavit the shareholders had produced the share application form, the share certificate and other supporting documents to show purchase of the share by them in the assessee's Company and the aforesaid was corroborated by the evidence. AO did not call for the account book, balance sheet and other documents from the Assessee Company and only because the shareholders were not produced, disbelieve their contention. The Tribunal has discussed the affidavit of each of the 60 persons and has given reason as to why there are material in the affidavit to show that these were creditworthy shareholders who had invested in amount of ₹ 2,55,60,000/- and by placing reliance on various judgments has recorded a finding to say that if the Assessing Officer had any apprehension with regard to the creditworthiness of the shareholders a proper enquiry should have been conducted by the Assessing Officer and the Assessing Officer having not done so, it is seen that the Commissioner, Appeals and the Tribunal conducted the exercise, examine the genuineness of the affidavit and by recording reason in para 25 has decided the issue. The finding recorded by the Tribunal is a finding of fact based on due assessment of the material that came and we find no substantial question of law warranting reconsideration.
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