2024 (12) TMI 992 - SCH - Income Tax

Reopening of assessment u/s 147 - diversion of the loan to sister concerns - petitioner impugned the exercise of the assessment which came to be continued post the rendering of the judgment in Ashish Agarwal 2022 (5) TMI 240 - SUPREME COURT in terms of a Section 148A(b) As decided by HC 2024 (7) TMI 1568 - DELHI HIGH COURT .We find ourselves unable to sustain that challenge bearing in mind the fact that the credible information which constituted the bedrock for the formation of opinion had categorically alluded to the aforesaid transactions, namely, the alleged diversion of the loan to sister concerns. The direction of the Court was to carry out an exercise of examining the explanation as proffered by the petitioner afresh.AO was clearly not disabled from proceeding to examine the entire case including on the basis of the allegations which formed part of para 2.5 of the original reasons to believe . HELD THAT - Having heard the learned counsel appearing for the petitioner and having gone through the materials on record, we see no good reason to interfere with the impugned order passed by the High Court. Special Leave Petition is, accordingly, dismissed.

Summary

The Supreme Court dismissed the Special Leave Petition after finding no reason to interfere with the impugned order passed by the High Court. Pending applications were also disposed of.

Citation: TMI
Judges: HON'BLE MR. JUSTICE J. B. PARDIWALA and HON'BLE MR. JUSTICE R. MAHADEVAN
Petitioner's Counsel: Mr. Anand Chaudhuri, Mr. Kumail Abbas, Mr. Abhinav Jain, Mr. Manish Kumar Shekhari