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2018 (2) TMI 1149 - AT - Income TaxAddition u/s 68 - unexplained advances - assessee company has received share application money of ₹ 6.64 crores from Ms. Rashna Fali Press, UAE based NRI - Held that:- No evidence of creditworthiness of Ms. Rachna Fall Press to grant an advance of ₹ 6.64 crores given. No balance sheet or capital account of the said person has been submitted. The said certificate only shows that based on the information available, her net worth is US Dollar 50 million. What is the said information has not at all been specified. It is well known that Dubai/UAE has no financial regulatory network. Hence, the credence to such a vague certificate devoid of any detail cannot be given. How maintenance of account with a bank confirms the creditworthiness of the said person to grant share application of ₹ 6.64 crores is beyond our comprehension. None prevented the assessee from obtaining the statement of financial accounts/balance sheet which could have given undeniable evidence of her creditworthiness. The assessee has also not furnished the bank statement of said person. Reluctance on the part of the assessee and the said person to give proper evidence of the creditworthiness and also the failure to submit the copy of the bank statement clearly proves that the assessee has not discharged the onus of proving the creditworthiness. It is clear that the said Ms. Rashna Fali Press has not given proper details to justify the creditworthiness to grant the said advance of ₹ 6.64 crores. - Decided against assessee.
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