2012 (11) TMI 853

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... nue submitted that CIT was not justified in deleting the additions made under Section 68 of the Act, as the depositors credit worthiness is not proved. The submission is wholly misconceived. CIT(A) has found that the companies are genuine and they are on the record. Copies of the audit report of the depositor companies have also been filed and merely because the names have been changed would not m .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... hether on the facts and in the circumstances of the case, the Hon'ble ITAT is legally correct in upholding the order of the learned CIT (A) that there is no dispute regarding identity and creditworthiness of the said two companies i.e. M/s Sanghal Hotels (P) Ltd. (Subsequently, name changed as Friends Buildtech and Developers (P) Ltd. and M/s FCS Cold Storage (P) Ltd. (Subsequently name changed as .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e assessee company has constructed flats at various projects, namely, Friends Ashiyana, Friends Paradies and Friends Palace Agra. During the course of assessment proceedings, the Assessing Officer noticed that the assessee had shown receipt of money on account of flat bookings from two companies namely, M/s Sanghal Hotels (P) Ltd. (subsequently changed as Friends Buildtech and Developers (P) Ltd.) .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... egistered with Registrar of Companies, hence only reason that reply of letter from A.O. was not furnished by these companies or they have changed their name and address, does not make the companies as non-genuine or nonexistent. 2.5 The payment/deposits are by cheques. The cheques have been issued by these companies out of their own funds, which were deposited with other firm/company. The appe .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... s are genuine and they are on the record. Copies of the audit report of the depositor companies have also been filed and merely because the names have been changed would not mean that they are not genuine. However the deposit made by the account payee cheque was from their own fund. The finding of CIT (appeal) is based on material on record. In view of aforesaid discussion, we do not find any le .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X