TMI Blog2023 (9) TMI 370X X X X Extracts X X X X X X X X Extracts X X X X ..... essee was engaged in the business of providing accommodation entries to various parties HELD THAT:- In the present case, the assessee apart from placing reliance upon the invoices, Ledger account of the vendors, and stock register neither could produce confirmation from the parties from whom the purchase was made nor could produce the confirmation from parties to whom the sale has been made. We find that in the case of one of the companies, i.e. M/s Empower India Ltd., which is controlled by Shri Shirish C Shah, the AO vide order dated 22/03/2016 passed under section 143(3) r.w.s. 153C of the Act, forming part of the paper book, treated 1% of the total sales as the commission earned from the provision of accommodation entry in the sim ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... disallowing purchases worth of Rs. 6,87,64,162/-. 4. That the appellant assails his right to amend, alter, change any grounds of appeal or take any further ground at any time even during the course of hearing of instant appeal. 3. During the hearing, the learned Authorised Representative ( learned AR ) wishes not to press grounds no.1 and 2. Accordingly, the said grounds are dismissed as not pressed. 4. The issue arising in ground no. 3, raised in assessee s appeal, is pertaining to the disallowance of purchases. 5. The brief facts of the case pertaining to this issue, as emanating from the record, are: The assessee filed an original return of income, for the year under consideration, on 25/09/2009 declaring a loss of Rs. 8 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... collaboration with Shri Shirish C Shah brought the share capital through preferential allotment and invested the amount with ultimate beneficiaries in the share capital with huge share premium. The AO further held that the assessee has failed to establish the genuineness of the transaction reflected in the profit and loss account and the assessee was engaged in the business of providing accommodation entries to various parties in association with Shri Shirish C Shah. During the assessment proceedings, it was observed that the assessee has debited purchase of Rs. 6,87,64,162 from M/s Jurong Labs Private Ltd and M/s Jasmine Healthcare Private Ltd. During the course of an investigation before the DDIT Investigation Unit-1(3), Hyderabad, the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eds thereof are credited to the books of accounts of the assessee company. 8. It is evident from the record that the assessee is one of the companies which is either associated with or under the direct or indirect control of Shri Shirish C Shah. Further, during the course of the search and the statements of Shri Shirish C Shah, it was revealed that he had been engaged in providing accommodation entries to various parties through such entities which were directly or indirectly either associated or controlled by him. No material has been brought on record to refute the aforesaid findings. In the present case, the assessee apart from placing reliance upon the invoices, Ledger account of the vendors, and stock register neither could produce ..... X X X X Extracts X X X X X X X X Extracts X X X X
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