TMI Blog2013 (10) TMI 1037X X X X Extracts X X X X X X X X Extracts X X X X ..... to have not been based on evidence. In the teeth of the aforesaid findings made by the Tribunal on the basis of evidence, it is difficult, if not impossible, to hold that the transaction of buying and selling of shares of Hindustan Development Corporation Ltd. was a colourable transaction or was resorted to with any ulterior motive of reducing the tax payable for long term capital gain – Decided against the Revenue. Decision in the case of CIT vs. Shekhawati Rajputana Trading Co. (P) Ltd. [1998 (4) TMI 106 - CALCUTTA High Court] distinguished. - ITA No. 270 of 1999 - - - Dated:- 7-10-2013 - GIRISH CHANDRA GUPTA AND RANJIT KUMAR BAG, JJ. For the Appellant : Mr. S.N. Dutta, Advocate For the Respondent: Mr. J.P. Khaitan, Sr.Adv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s were duly confirmed not only by the brokers, but also by the Inspector appointed by the Assessing Officer; e) The statement of one Sri Kejriwal did not relate to the transaction between the assessee and the purchaser of the shares of Hindustan Development Corporation Ltd. Moreover, the statement of Kejriwal relied upon by the Assessing Officer had no evidentiary value because the said Kejriwal has resiled from his statement and the said Kejriwal was never offered for cross examination by the assessee; f) Delivery of the shares both at the time of sale and purchase was confirmed by the brokers; g) Parking of the shares with Jai (the buyer) as alleged by the department was without substance because the purchaser has ever si ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... law in treating the loss arising to the assessee company on sale of its shares of HDC Ltd. as genuine". Mr. Dutta, learned Advocate appearing for the appellant Revenue drew our attention to Page-51 of the paper book for the purpose of demonstrating that the assessee has earned substantial capital gain by selling shares of Ingersoll Rand (I) Ltd. and ABB Ltd. He submitted that from the chart appearing at Pge-51 of the paper book which forms the judgment of the Assessing Officer, it would appear that all the companies who profitted from the sale of the shares of Ingersoll Rand (I) Ltd. and ABB Ltd. resorted to the same practice of entering into the transaction of buying and selling of shares of Hindustan Development Corporation Ltd. and, t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed by the assessee, which he had disallowed. The third ground is based on a judgment of this Court in the case of CIT vs. Shekhawati Rajputana Trading Co. (P) Ltd., reported in 236 ITR 950. What had happened in that case was that the losses were suffered by the assessee by selling the shares to its chairman and the assessee had failed to prove that the transaction was a genuine transaction. Therefore, that judgment can have no manner of application to the case in hand. Before us, in order to show genuineness of the transaction, more than 10 grounds have been assigned by the Income Tax Appellate Tribunal and not one of them was even commented upon by Mr. Dutta. We are, as such, of the opinion that this appeal does not raise any question ..... X X X X Extracts X X X X X X X X Extracts X X X X
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