TMI Blog2018 (2) TMI 2113X X X X Extracts X X X X X X X X Extracts X X X X ..... t make proper enquiries. Assessee had provided the primary details such as the identify of the creditors, their bank accounts (financial soundness) and all material particulars. Thus, the initial onus cast upon the assessee in terms of the judgment of Lovely Exports [ 2008 (1) TMI 575 - SC ORDER] was discharged. Burden which then shifted to the ITAT of probing deeper was not discharged in the present case. The AO did not make a closer scrutiny of the bank accounts or the statements provided; nor did he probe into the income tax returns of the creditor companies. The AO should not have rested content only on the statement of the Directors, but, also analysed the other details provided. In these circumstances, the concurrent findings of facts ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ondent : None ORDER The Revenue in these appeals questions the decision of the Income Tax Appellate Tribunal (ITAT), which affirmed the appellate order of the Commissioner. It is contended that the deletion of amounts brought to tax under Section 2(22)(e) and Section 68 of the Income Tax Act, 1961 ( the Act ) by the lower appellate authority, was erroneous. The assessee was subjected to a search under Section 132 and later issued notice under Section 153A of the Act. He contested the notice and ultimately suffered several adverse orders by way of final assessment, which resulted in substantial additions. These additions primarily were on account of (a) alleged unexplained credit-brought to tax under Section 68, and, (b) the amounts secured ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... TAT of probing deeper was not discharged in the present case. The AO did not make a closer scrutiny of the bank accounts or the statements provided; nor did he probe into the income tax returns of the creditor companies. The AO should not have rested content only on the statement of the Directors, but, also analysed the other details provided. In these circumstances, the concurrent findings of facts, cannot be faulted. As far as the additions made under Section 2(22)(e) goes, both the authorities held that the assessee had provided security by way of mortgage of his personal property so that M/s Pilot Industries could obtain bank loans. In lieu of that security, assessee was provided with loans. This kind of transaction though facially susp ..... X X X X Extracts X X X X X X X X Extracts X X X X
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