TMI Blog2018 (5) TMI 1801X X X X Extracts X X X X X X X X Extracts X X X X ..... essee issued cheque No. 263943 amounting to ₹ 30,00,000/- being cheque to Daksh Diamonds towards refund of loans. The transactions were routed through Vijay Bank. The ledger confirmation by Daksh Diamonds tell the same facts. The search and seizure action conducted by the Department in Bhanwarlal Jain Group took place on 03.10.2013. The loans taken by the assessee from Daksh Diamonds in the year 2006 was refunded in the year 2010. One has to respect the transactions which occurred more than three years before the search and seizure action by the Department. Thus the addition made by the AO without any documents is devoid of merit. - ITA No. 5648/MUM/2016 - - - Dated:- 30-5-2018 - SHRI C.N. PRASAD (JUDICIAL MEMBER) AND SHRI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A) has erred in relying upon the decision in the case of Shri Jafferali K. Tattonsy vs. DCIT 5068/Mum/2009, As the decision of the case doesn't squarely apply to instant case as this case deals with bogus/accommodation entries of unsecured loans. 3. Briefly stated, the facts of the case are that the Assessing Officer (AO) received information from the Investigation Wing of the Income Tax Department, that a search and seizure operation was carried out in Shri Bhanwarlal Jain Group on 03.10.2013, wherein it was found that Shri Jain along with his associates had provided accommodation entries in the form of unsecured loans/deposits/purchase entries to a large number of parties through various benami concerns controlled by them, by takin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r paper transaction. Thus the Ld. CIT(A) deleted the addition of ₹ 50,00,000/- and ₹ 4,50,000/- made by the AO. 5. Before us, the Ld. DR relies on the order passed by the AO and submits that the Ld. CIT(A) should not have ignored the statement given by the hawala operators on oath before the Director of Income Tax (Investigation) during the course of search and seizure operation conducted by the Department on 03.10.2013. 6. On the other hand, the Ld. counsel of the assessee submits that the assessee had received an amount of ₹ 50,00,000/- from M/s Daksh Diamonds during the AY 2007-08. Also the assessee had paid interest @ 9% on such borrowed money and TDS has been deducted on the same. It is stated that the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 0 and (vi) Profit and Loss account, Balance sheet and Income Tax Return of the appellant for AY 2007-08. It is clarified by him that the above documents were filed before the AO and CIT(A). Reliance is placed by him on the decision in M/s Andaman Timber Industries (Civil Appeal No. 4228 of 2006) SC, Reliance Corporation v. ITO (ITA No.1069/Mum/2017), ITO v. Gujarat Construction (ITA No. 7040/Mum/2016) and ITO v. Vikram Muktilal Vora (ITA No. 842/Mum/2017) in respect of the 1st, 2nd, 3rd and 4th ground of appeal. In respect of the 5th ground of appeal, reliance is placed by him on the decision in Shri Jafferali K Tattonsy [53 SOT 220 (Mumbai)], Satish N. Doshi HUF [Mum ITAT] and Shaf Broadcast Pvt. Ltd. [Mum ITAT]. Finally, the L ..... X X X X Extracts X X X X X X X X Extracts X X X X
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