TMI Blog2016 (2) TMI 1218X X X X Extracts X X X X X X X X Extracts X X X X ..... Its other pleadings on merits and consequential action of penalty and interest have become academic. - IT(SS)A Nos. 530 to 532/Ahd/2012, Cross Objection Nos. 01 to 03/Ahd/2013 - - - Dated:- 15-2-2016 - Shri Anil Chaturvedi, Accountant Member and Shri S. S. Godara, Judicial Member For The Revenue : Shri Vimlendra Verma, CIT-D.R. For The Assessee : Shri S.N. Soparkar, A.R. ORDER PER BENCH:- This batch of six cases comprises of Revenue s three appeals and assessee s cross objection therein for assessment year 2007- 08 to 2009-10, arising from different orders of the CIT(A)-6, Ahmedabad; all dated 21-08-2012 in appeal nos. CIT(A)- VI/ACIT.(OSD)/R.1/333/11-12, CIT(A)-VI/ACIT.(OSD)/R.1/332/11- 12 and CIT(A)-VI/ACIT.(O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing additions of ₹ 3,92,04,000/- and ₹ 8 lacs under the heads unexplained investments and money; respectively. The assessee s cross objection 03/Ahd/2013 on the other hand seeks to quash the impugned 153C proceedings. We have heard both the parties. 5. Ld. authorized representative appearing at assessee s behest points out in the course of hearing that the impugned assessment completed u/s. 153C of the Act arises from a search action carried out in the case of doctor Rajesh Rajora and others group cases in Madhya Pradesh. He submits that this search led to seizure of some alleged documents belonging to assessee. The departmental authorities are stated to have finalized a satisfaction note along with LPS-2 3. This culmina ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m such materials are received. Therefore the assessee was provided vide letter dtd.14.11.2011 all the details such as 1) satisfaction note, 2) copies of all relevant materials and 3) Order u/s 127. Thereafter the assessee has filed return of income for AY 2007-08 on 01.12.2011 declaring total income at ₹ 13,17,310/-. The Assessing Officer framed the assessment order u/s 153A r.w.s. 153C 143(3) of the Act, dated 30.12.2011. The assessee challenged the assessment order before the CIT(A) who has partly allowed the appeal of assessee. The Revenue is in appeal before us against the deletion of addition whereas the assessee has filed the cross objection raising the issue of validity of the assessment framed u/s 153A r.w.s. 153C 143(3). ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o be invalid. On other hand, the Id. DR on the other hand supported the order of Assessing Officer and requested to allow all alternative remedy in this case including reopening of the cases. 4.3 After considering the rival submissions and going through the record we find that Hon'ble Madhya Pradesh High Court in the case of Rajesh Rajora vs. Union of India (supra) has decided the issue in favour of assessee wherein the head note of the decision is as under :- Section 132 of the Income-tax Act, 1961 -Search and seizure (Validity of search) -Search and seizure proceedings were conducted in premises of a Government Officer on warrant issued by Director, on basis of a document found during search conducted in premises of anoth ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... our thoughtful consideration to various pleadings raised in the instant appeal. There can hardly be any dispute that once the search action itself stands quashed, the instant proceedings have no legs to stand. We find that ld. co-ordinate bench has accepted Revenue s submission for alternate remedy to be exercised as per law after providing due opportunity of hearing to assessee. We also grant liberty to the department to proceed in the same terms. The impugned assessment proceedings initiated against the assessee are quashed. The Revenue s pleadings on merits have been rendered infructuous. The assessee s cross objections raising legal ground are accepted. Its other pleadings on merits and consequential action of penalty and interest have ..... X X X X Extracts X X X X X X X X Extracts X X X X
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