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TMI Blog2017 (6) TMI 394X X X X Extracts X X X X X X X X Extracts X X X X ..... y the depositors in respect of accommodation entries have been received or not from the said depositors. However, the assessee fails to produce the depositors. Therefore, it is established beyond doubt that there is no genuine cash credit and thereby the cash credit remains unexplained. Therefore, the amount deposited during the year amounting to ₹ 9,70,923/- is treated as unexplained cash credit and the same is added to the total income of the assessee u/s 68. Further the assessee has also not furnished the age wise analysis of the opening balance of ₹ 24,71,091/- standing in the name of the above depositors. Therefore, the same is treated as received during the year and added to the total income of the assessee as unexplained ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... duction of ₹ 1,00,000/- under section 80C of the Act and deduction of ₹ 10,219/- under section 80D of the Act, the net income worked out to ₹ 7,31,198/-. During the course of assessment proceedings, the assessee has furnished confirmation from the following depositors:- S. N. Name of the Party Opening Balance (Rs.) Addition (Rs.) Addl. Interest (Rs.) Payment (Rs.) Closing Balance (Rs.) 1. Amresh Ramdinesh Sharma 6,15,351 90,000 24,621 24,621 6,80,730 2. Arvind Ran ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tegorically admitted that he was managing business affairs/bank accounts etc. of 61 persons. Moreover the bank passbooks, blank cheques duly signed etc. have also been found which were impounded during the course of survey. It was also stated that he himself has opened the bank accounts in the name of various persons, operated the bank accounts and also deposited the cash into their accounts and issued cheques to the various persons. The names of the above persons from whom you have obtained the deposit are appeared in the list of 61 persons. In view of the above, the detailed show cause notice was issued to the assessee on 25.11.2010. It was necessary verified the identity, creditworthiness and genuineness transaction, in the background ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A.R. of the assessee. The order sheet entry dated 07.12.2010 has been made which is signed by Shri Nirmal Jain. It was further submitted that no addition can be made on the basis of statement recorded of the third party. The loans have been accepted and repaid to the said parties either during the year or in subsequent years. The complete address as well as PAN the provided, all are assed to tax. Therefore, genuineness of loan should not be doubted. As regard, to produce the parties, it is submitted that the assessee have no good relation with the said parties now and therefore, it will be not comfortable to produce the parties. Further, it was submitted that If for a moment your version is accepted then also it cannot be accepted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it was noticed that one Shri Ramdinesh Ranjit Sharma was managing the business affairs/bank accounts etc. of all the above persons and persons other than above some of whom were his close relatives/friends as claimed by him. During the course of survey proceedings it was further admitted by him that he himself had opened the bank accounts in the name of all the above persons and operated the bank accounts himself in the name of these persons, deposited cash into their bank accounts and issued cheques to various persons. The modus operandi of the business carried on at 115, P.B. Parekh Tower, Kankaria, Ahmedabad has been explained by Shri Ramdinesh Sharma. He has categorically admitted that opened all the bank accounts in the name of these p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the case of depositors from whom the assessee has obtained huge loan. The genuineness of the transaction can only be prove after verifying the depositors bank accounts and credit entries in the said bank account is genuine so that the department can established that there is no genuine cash credit vis a vis the assessee can prove that there was a genuine cash credit. This is only reason to ask the assessee to produce the depositors. However, the assessee fails to avail the opportunity accorded to it. In the above backgrounds and materials available with the department the onus is cast upon the assessee to produce the persons and the assessee cannot absolve himself from the onus cast upon him. The mere filing of confirmation and copy ..... X X X X Extracts X X X X X X X X Extracts X X X X
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