TMI Blog2017 (1) TMI 1286X X X X Extracts X X X X X X X X Extracts X X X X ..... explain the same by stating that it was not referred to in the petition as speed money expenses incurred for getting clearances are not expenses which are allowable in view of Explanation I to Section 37 of the Act. However no such explanation is offered in the petition. One would have therefore proceeded on the basis that no speed money expenses were estimated while working out the estimated expenditure out of 'on money' received. The petitioner must disclose all material facts even if not favourable to him. It is not open to the petitioner to selectively disclose facts and suppress some facts and yet seek extra ordinary remedy of a prerogative writ. As pointed out above, one of the heads of expenses claimed before the Commission for a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ll and true disclosure on account of the following three claims: (a) On money received by the petitioner; (b) Estimated expenses incurred out of on money; and (c) The entitlement to the benefit of Section 80IB of the Act. 3. However, we note that the impugned order dated 9th August, 2016 rejects the petitioners application for settlement on the following two grounds : (a) The application does not contain full and true disclosure of the applicant's income; and (b) The application does not contain the manner in which income disclosed has been earned. Consequently not satisfying the jurisdictional requirements of Section 245C(1) of the Act. 4. There is no challenge by the petitioner on the second issue as (b) above ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from rejecting the application for settlement at later date for non-disclosure of true and full information of the income or the manner in which income was derived. As the requirement of full and true disclosure of the income and the manner in which the income is derived is a requirement to be satisfied by the applicants at all time before this Commission 6. Therefore, examination of the petitioner's grievance with regard to true and full disclosure in the facts of the present case is academic. This is so as the other issue on which the application for settlement has been rejected is not challenged before us. Therefore no useful purpose would be served by entertaining this petition as the rejection of settlement application would ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rotection. h. Construction expenses on material etc. for construction of rehab buildings. All these expenses have been incurred from the unaccounted business receipts from projects. These expenses were not recorded in the regular books of accounts as the same is incurred out of unaccounted receipts. 8. In the petition at page 18 in ground (G) the petitioner has stated as under : - The Petitioner submit that the nature of business of the Petitioner is such where unaccounted expenses is required to be incurred from time to time without which this type of business cannot function. Instances of such expenses explained by the Petitioner which are reproduced for the sake of convenience :- a. Payment to slum dwellers i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... timated expenditure out of 'on money' received. 10. In the submission dated 11th July, 2015 filed before the Commission the applicant refers to page 13 of the Statement of facts and in particular makes references to speed money for getting clearance as one of the unaccounted expenditure incurred for business purposes. This in fact is the basis of the claim made by the applicant before the Commission. If according to the petitioner this amount of expenditure incurred on account of speed money for getting clearance was not allowable as expenditure, then the same could not have been taken into account while estimating the expenditure incurred by it before the Commission. 11. It needs no repeating that relief under Article 226 of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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