TMI Blog2015 (4) TMI 835X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee for more than one reason. In the first place, no such case was made out before the learned Tribunal. Even assuming that investment of a sum of ₹ 2,01,000/- has been reflected in the final accounts of the assessment year 1987-88 and has duly been offered for taxation, nothing was easier for the assessee than to produce a copy thereof before us which may have tilted the balance in his favour. The fact that the assessee-appellant did not take any such step leaves no doubt in our mind that the submissions are not true. The investment discovered during the search and seizure has not been disputed on facts. Therefore, it was a clear case where Section 69 of the Income Tax Act would be applicable and this is what was done. - Decid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the case of account with PNB, New Delhi and Dena Bank, New Delhi, represented by clearing cheques deposited for which necessary enquiry was possible with the Bank where deposits were found and the Banks from which the amount were debited for credit to the assessee s account. Such enquiry was not even attempted. The conclusions are mostly on the basis of A.O. s statement that assessee was not able to explain. Such conclusion can indicate either absence of explanation or explanation given verified to be not tenable. However, such conclusion has to be based on result of specific post such enquiry and assessee s explanation with regard to result of such enquiry. Therefore, here also, the block assessment order failed to rise to the require ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion that arises for consideration is as to whether the provisions of Sec.69 are attracted in the case of block assessments and finally it is to be considered as to whether the assessee had satisfactorily explained the source of the deposits in the bank account and not whether the addition was justified in block assessment. In this case, the existence of Savings Bank Account No. 4790 with Canara Bank was detected as a result of search and the assessee had owned the said account. Therefore, the foundation for assessment of ₹ 2,01,000/- is the material found in the course of the search. During the search and seizure, it is thus evident that the Savings Bank Account No. 4790 maintained with Canara Bank was detected. It was also found ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... accounted for in the final accounts of the financial year 1986-87 corresponding to assessment year 1987-88, but the Assessing Officer did not take the trouble of making the necessary investigation. Had such an investigation been made, the fact would have been discovered. We have not been impressed by the submissions advanced before us by Mr. Sen, learned Advocate for the assessee for more than one reason. In the first place, no such case was made out before the learned Tribunal. Even assuming that investment of a sum of ₹ 2,01,000/- has been reflected in the final accounts of the assessment year 1987-88 and has duly been offered for taxation, nothing was easier for the assessee than to produce a copy thereof before us which may hav ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... turns filed under Section 139. During search his explanation was that the said deposits were made out of the cash balance available. In the absence of any proof with regard to such availability of funds, the assessing officer treated the aforesaid deposits as the income of the assessee from undisclosed sources. Mr. Sen contended before us that the deposit had been reflected in the final accounts of he assessment year 1987-88. Therefore, the explanation offered at the relevant time and the explanation offered now before us materially differ. The explanation offered before us could have been proved by the assessee by producing his final accounts of the assessment year 1987-88 but he omitted to do so. Therefore, the case is clearly cove ..... X X X X Extracts X X X X X X X X Extracts X X X X
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