9911796707
TMI Blog2019 (11) TMI 534X X X X Extracts X X X X X X X X Extracts X X X X ..... tuated in Noida, Greater Noida, in the District of Ghaziabad within the jurisdiction of the same authority. It is clear that the I.O. had no territorial jurisdiction to issue the Show Cause Notice to any of the parties. The Competent Authority is the I.O. under the JCIT/Additional CIT, BPU Unit, Kanpur as per the areas defined under the said notification of CBDT. In the present case none of the criteria prescribed in Para 4 of the SOP is fulfilling. The Ld. Adjudicating Authority appears to have not considered this in proper prospective and hence passed the impugned order. In view of the aforesaid two documents and on the basis of foregoing reasons stated above, we are of the considered view that the I.O., Mumbai ought not to have issued show cause notice and taken up enquiry/investigation in the matter. The Competent Initiating Officer, having jurisdiction, is at liberty to initiate appropriate proceedings in accordance with law - the appeals are not decided either on merit or on any other issues except the territorial jurisdictional authority of Initiating Officer issuing show cause notice and subsequent actions on the basis of said notices - appeal allowed. X X X X Extracts X X X X X X X X Extracts X X X X ..... Purchase Agreement dated 25.11.2015) M/s. Starcity Buildcon Pvt. Ltd. having head office at D-35, Anand Vihar, Delhi - 110092 8,08,00,000 3. Residential space admeasuring 50000 Sq. Ft. in project situated at Sports City Plot No. SC-02/G, Sector-150, Noida, UP (As per Space Purchase Agreement dated 15.02.2016) M/s. Crest Promoters Pvt. Ltd. having registered office at D-35, Anand Vihar, Delhi - 110092 6,06,00,000 4. Residential space admeasuring 110000 Sq. Ft. in Tower - I of Housing project namely "Ace Aspire" on a piece of land situated at Plot No. GH-2A Sector - Techzone IV, Greater Noida (W), UP (As per Space Purchase Agreement dated 21.09.2015) M/s. Star Landcraft Pvt. Ltd. having head office at Plot No. GH-2A Sector - Techzone IV, Greater Noida (W), UP. 25,88,74,306 C. It is revealed from the record that M/s. DSIPL has been regularly filing return of income since Assessment Year 2009-10 under PAN: AADCD0018R having address at "Plot No.7, Krishnalal Road, Malhotra House, off Saki Vihar Road, Andheri (East), Mumbai, Maharastra, PIN- 400072". D. Discreet enquiries were made with regards to business activities of M/s. DSIPL and it was found that no such e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Barter Pvt. Ltd. vi. Salora Capital Limited vii. Shridhar Financial Services Limited viii. ShriHaridas Securities and Credits Private Limited ix. Abhinav Leasing and Finance Limited x. Blooms Texent Private Limited xi. Svam Software Limited xii. Grk Finance Company Pvt. Ltd. xiii. GoodfaithDealcomm Private Limited. H. Enquiries into the financial affairs of the companies have yielded that all of them are in the nature of "shell entities" with no genuine business activity, nominal/low paid up capital, high share premium/unsecured loans/ comparatively high trade payable v/s turnover, nil or low turnover as well as nil/meagre return of income and large credits in bank account immediately followed by debits of equivalent amount. The source of investment by these creditor companies is through high security premium or unsecured loans or trade payable. I. It is also seen from the material on record that M/s. Salona Barter Private Limited, 21/3 Jatindra Mohan Avenue, Kolkata, West Bengal, PIN - 700006 and M/s. Appeal Agencies Private Limited, 21/3 Jatindra Mohan Avenue, Kolkata, West Bengal, PIN - 700006; are two companies which have been identified to be asso ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ged Beneficial Owners also admittedly, namely M/s. Ace Infracity Developers Pvt. Ltd., M/s. StarcityBuildcon Pvt. Ltd., M/s. Crest Promoters Pvt. Ltd. and M/s. Star Landcraft Pvt. Ltd., are corporate entities having Registered Office in Uttar Pradesh. 7. It is the also the contention of the Appellants that none of the impugned transactions took place in Mumbai and even the Bank accounts from which transactions have been made are not in Mumbai. 8. The notice issued under Section 24(1), orders passed under Section 24(3), 24(4) and making reference under Section 24(5) did not have any jurisdiction to initiate any proceedings against the erstwhile company and all the actions taken by the Respondent are void, non-est and Coram Non-Judice. That the Respondent had setup camp office at NOIDA for carrying out enquiries, by the Respondent, which is beyond the provision of law and further indicates the mala-fide of the Respondent in assuming jurisdiction when there was none. That the very fact that Respondent had setup its camp office at NOIDA for this case, established the fact that the Respondent was also quite aware and conscious of the fact that affairs of the erstwhile company were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onal Commissioner of Income-Tax, (Benami Prohibition), Kanpur. It is undisputed that the properties are situated in Noida, Greater Noida, in the District of Ghaziabad within the jurisdiction of the same authority. 13. In their written submissions the Respondent tried to justify the jurisdiction of the I.O., Mumbai by stating that the office of M/s. DSIPL was located in Mumbai during the time when space purchase agreements were signed for purchase of the flats i.e. during the Financial Year 2015-16. Only in the F.Y. 2016-17 M/s. DSIPL changed its address to Ghaziabad. It is also the case of the Respondent that the proceedings in the case have been initiated after the enquiry and reference received from the office of the ADIT (Inv.), Unit-2(2), Mumbai. During the course of enquiry under PBPT Act, 1988 the Show Cause Notice and notices have been issued to the parties including the Benamidar and Beneficial Owners and in response to this they have filed details time to time. On perusal of the case records, it is found that M/s. DSIPL has not raised any specific objection regarding jurisdiction of thecase during the entire proceedings. It is only after the reference under Section 24( ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
