TMI Blog2010 (2) TMI 873X X X X Extracts X X X X X X X X Extracts X X X X ..... es have to be held as unexplained shares, sale proceeds of which have to be assessed as unexplained income of the assessee, therefore, reverse the order of the ld CIT(A) and uphold the assessment order on this issue. Ground of the revenue is allowed. - ITA No. 2025/Del/2009, - - - Dated:- 26-2-2010 - R.P. Tolani, A.K. Garodia, JJ. Narender K. Chand, Sr(DR) for the Appellant S.K. Tandon, CA for the Respondent ORDER A.K. Garodia, Accountant Member 1. This is revenue's appeal directed against the order of Ld CIT(A), Muzaffarnagar dated 24.2.2009 for assessment year 2005-06. 2. The grounds raised by the revenue read as under:- 1. Whether on the facts and in the circumstances of the case, the CIT(A) has er ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1,20,193.80. The Assessing Officer asked the assessee to submit various details and supporting evidences as per notice u/s 144 of the IT Act, issued by the Assessing Officer on 10.10.2007 fixing the date of compliance on 22.10.2007. The contents of this notice are reproduced by the Assessing Officer on page No.2 and 3 of the assessment order. It is further noted by the Assessing Officer that on the fixed date Shri SK Tayal appeared and filed reply. The contents of this reply are also reproduced by the Assessing Officer on page No.3,4 and 5 of the assessment order, The salient points of this reply are that as per the assessee, the date of purchase of share is 10.11.2003. Copy of contract note and bill in respect of purchase of share is enclo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n that this transaction of purchase and sale of share is not a genuine transaction. One of the reasons given by the Assessing Officer is that the increase in value of share is highly un-realistic because in just 13-15 months time the prices of these shares have allegedly increase by more than 20 times. The Assessing Officer has made addition of Rs.11.77 lakhs as income from undisclosed sources. Regarding No.3, the facts that It is noted by the Assessing Officer on page No.5 of the assessment order that in the computation, the assessee has shown profit through trading with M/s Shambu Dayal Ram Nath at Rs.49,100/- but copy of account which has been filed in support of this income is of Shambu Dayal Vinod Kumar. It is noted by the Assessing Of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding both grounds. When it was enquired by the Bench as to on which date these shares of M/s Welcome Coir Industries Pvt. Ltd. were credit in Demat A/c of the assessee, the ld AR of the assessee could not point out any specific date but it was submitted by him that these shares had come to the Demat A/c of the assessee during November, 2004. Our attention was drawn to page No.23 of the paper book which is a certificate of Demat A/c of the assessee dated 27.11.2004. It is also pointed out that on page No.22 of the paper book is a statement Demat A/c for the month of March, 2005 as per which these shares were transferred to Stock Holding Corporation of India Ltd. in March, 2005. When it was enquired by the Bench that what is the evidence rega ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paid by the assessee, the assessee did not get the delivery till November, 2004, it was the submission of the assessee before us that these shares were delivered to Demat A/c of the assessee in November, 2004. This is a mere contention raised by the Ld counsel for the assessee before us that without furnishing any evidence in support of this contention. If that was fact, the assessee could have furnished copy of Demat A/c of the share broker showing the shares held by the broker on behalf of the assessee. No confirmation or certificate has been furnished by the assessee from share broker till November, 2004, these shares were held by the broker in his Demat A/c on behalf of the assessee. Under these facts, we are of the considered opinion t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eeds of which have to be assessed as unexplained income of the assessee and we, therefore, reverse the order of the ld CIT(A) and uphold the assessment order on this issue. Ground No.1 of the revenue is allowed. 7. Regarding ground No.2, 23 find that it was submitted by the assessee before Ld CIT(A) that at the time of filing of return of income, the assessee had wrongly mentioned that an amount of income there from M/s Shambu Dayal Ram Nath instead of M/s Shambu Dayal Vinod Kumar. It was also submitted that there was no dealing with M/s Shambu Dayal Ram Nasth. Regarding difference in amount of Rs.5,000/-, it was submitted that copy of account of M/s Shambu Dayal Vinod Kumar shows that a checuq of Rs.5,000/- was given vide cheque No.541 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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