TMI Blog1989 (3) TMI 61X X X X Extracts X X X X X X X X Extracts X X X X ..... rse ? 2. Whether, on the facts and in the circumstances of the case, the Tribunal relied on irrelevant materials and ignored relevant evidence in holding that the sum of Rs. 1,04,085 is not the income of the assessee from undisclosed sources for the assessment year 1969-70, and whether such finding is otherwise unreasonable and/or perverse ?" The assessment years involved are 1968-69 and 1969-70. The facts found by the Tribunal are as under : "The respondent in this case is a firm, and has been assessed in the status of an unregistered firm. The assessment years in issue are 1968-69 and 1969-70 for which the relevant accounting periods ended on March 31, 1968, and March 31, 1969, respectively. For the assessment year 1968-69, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s to those credits being genuine was not accepted. Hence, the total income from undisclosed sources was added at Rs. 1,96,612. On appeal, the Appellate Assistant Commissioner deleted the addition of Rs. 1,96,612 by observing that for the cash credits of Rs. 27,789 in respect of four parties, the assessee filed confirmatory letters and the Income-tax Officer did not issue summons to them and, therefore, the claim of the assessee was valid. In respect of the cash credits of Rs. 1,68,825, relating to eight parties, the Appellate Assistant Commissioner observed that the loans were advanced by account-payee cheques. The creditors were income-tax assessees and the letters of confirmation were in order and one of the creditors was a public char ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te Assistant Commissioner had mentioned that the confirmatory letters have been looked into by him. We find that the Income-tax Officer issued summons to all the parties excepting these four parties. Considering the totality of the circumstances and after hearing the arguments of both the sides, we feel that, in the interest of justice, the issue relating to these four parties involving loans aggregating to Rs. 27,789 should be redecided by the Appellate Assistant Commissioner after hearing the Income-tax Officer as well as the assessee. If the Appellate Assistant Commissioner feels satisfied that the creditors had acknowledged the loans and the creditors were credit-worthy, he should treat the loans as genuine after hearing both the partie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... there were cheque transactions with P. K. Poddar and Sons, Om Prakash Dal Mill, Smt. Kanti Devi Agarwalla, Chowdhury and Co. and Smt. Kushumlata Khemka. These cheque transactions were not successfully impugned...." "The cash transactions in the case of the other parties could have again been verified by the Income-tax Officer by looking into the assessment records of these creditors and also finding out whether they were credit-worthy. This was not done. Therefore, we uphold the Appellate Assistant Commissioner's decision in deleting the addition of Rs. 1,68,885 for the first year and Rs. 1,04,085 for the second year and reject the departmental stand on this issue." We fail to see how the question can now be raised about the Tribunal' ..... X X X X Extracts X X X X X X X X Extracts X X X X
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