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TMI Blog2019 (1) TMI 1459X X X X Extracts X X X X X X X X Extracts X X X X ..... MIL''). 2. Ld. Counsel for the assessee submitted that assessee had acquired 750 equity shares from one M/s. SMIL on 10.11.2009 through stock exchange. According to the ld. Authorised Representative, purchases were not off-market but was done through a recognized stock exchange by a stock broker named M/s.MSE Financial Services Ltd. As per the ld. Authorised Representative the said broker was registered in SEBI. Contention of the ld. Authorised Representative was that the payments for purchase were made through bank on 12.11.2009. Submission of the ld. Authorised Representative was that on the above 750 shares, assessee has received 2250 bonus shares, in the ratio of 1:3 on 01.12.2009 increasing its holding to 3000 equity shares. Thereafte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3.05.2018). 4. I have considered the rival contentions and perused the orders of the authorities below. What I find is that ld. Assessing Officer had relied on an investigation report of Investigation Wing of the Department, from Kolkata, for disbelieving the purchase and sale transaction of the shares of M/s. SMIL claimed by the assessee. As per the ld. Assessing Officer, share price movements of the shares of SMIL, clearly indicated artificial hiking of the prices and consequent bogus claim of capital gains. Ld. Commissioner of Income Tax (Appeals) on the other hand had taken a view that shares acquired by the assessee were through off market. He also held that there were no bonus shares issued by SMIL for justifying the increase in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the ground that one Shri Chandrakant Shah provided accommodation entry to various persons. The question arises for consideration is whether the assessees' transaction in respect of purchase of shares and sale of shares through ASE Capital Markets Ltd. is a bogus transaction? This Tribunal is of the considered opinion that when the fact that ASE Capital Markets Ltd. is a recognised stock broker is not in dispute and the assessees have also purchased the shares at the market rate and sold the same at market rate through recognised stock broker of Security Exchange Board of India, it cannot be said that the transaction was a bogus one''. As to the decision of Heerachand Kanunga (supra) relied on by the ld. Departmental Representative, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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