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TMI Blog2012 (5) TMI 41X X X X Extracts X X X X X X X X Extracts X X X X ..... d therefore, he took time to rectify the defects. For the reasons stated in the application, delay in refilling is condoned. ITA 252/2012 ITA 253/2012 ITA 258/2012 We have heard Mr. Santhanam in these appeals under Section 260A of the Income Tax Act, 1961 („Act‟, for short) impugning the common order dated 26.8.2011. The appeals relate to assessment years 2002-03, 2003-04 and 2004-05. In the years in question, the appellant, a private limited company, had received share application money allegedly from Fair "N" Square Exports P. Ltd., Satwant Singh Sodhi Const. P. Ltd., Ethnic Creations P. Ltd., MV Marketing P. Ltd., Baldev Harish Electricals P. Ltd, Maestro Marketing & Advertising and Polo Leasing & Finance P. Ltd. of Rs. 20 la ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al after noticing the facts on record felt that the matter cannot be decided in a superficial manner, by only making reference to the bank account entries and whether or not the alleged shareholders were incorporated companies. The Tribunal in paras 17 to 23 of its order has elucidated the relevant facts and given cogent and good reasons why an order of remit was necessary and required in the facts of the present case. For the sake of convenience we are reproducing the findings recorded in paras 17 to 23 of the Tribunal: "17. The assessee is a private limited company. Share application money was received by it not on account of public issue of shares but on account of private placement. The contention of the revenue is that the evidence on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said judgment of the Hon‟ble Delhi High Court has been reported as CIT v. Divine Leasing & Finance Ltd, 299 ITR 268. It could be seen from the said judgment that the assessee company namely M/s Divine leasing & Finance Ltd. was a public limited company. The said company received subscription from public issue through banking channel and the shares were allotted inconsonance with the provisions of Securities Contract (Regulation) Act, 1953. With reference to such share application money complete details were furnished. It was also found by the Tribunal that the Assessing Officer did not bring any positive material or evidence which would indicate that the share holders were benamidar or fictitious persons or that any part of the share ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g Officer could not be served in the address of such share applicants by the postal authorities as none of them was found in the said address. Thus, it cannot be said that the Assessing Officer has not brought on record any evidence to show that there were strong indication that the so-called share applicants were mere paper entities and did not have the requisite capacity to advance the impugned amounts, it is also to be noted that share were not allotted to these parties in the immediate future. In the above facts and circumstances of the case, we are of the considered opinion that the ratio laid down by the Hon‟ble Supreme Court in the case of Lovely Exports Pvt. Ltd. (supra) is not applicable in the present case. 21. From the fac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... portunity of being heard." 5. Whether or not an order of remand is justified and required depends on facts of each case. We do not think any legal proposition or ratio has been laid down by Bhav Shakti Steel Mines (P) Ltd. (supra), which is contrary or runs counter to the direction of remand passed by the Tribunal. We may note that the decision in the case of CIT Vs. Lovely Exports Pvt. Ltd. (2009) 319 ITR (St.) 5 (SC) has been considered and examined by the Delhi High Court in CIT Vs. Nova Promoters & Finlease (P) Ltd. in ITA No.342/2011 decided on 15.2.2012. Nova Promoters (supra) was decided on merits in view of the factual back ground and evidence. The decision of the Supreme Court in Anis Ahmad and Sons (supra) is hardly applicable. I ..... X X X X Extracts X X X X X X X X Extracts X X X X
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