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TMI Blog2023 (6) TMI 89X X X X Extracts X X X X X X X X Extracts X X X X ..... the following question of law stating to be arising as substantial question of law, "Whether on the facts and in the circumstances of the case and in law, the Appellate Tribunal has erred in law and on facts in deleting the addition of Rs. 8,71,00,000/- made on account of unexplanied cash credit u/s. 68 of the Act, without properly appreciating the facts of the case and the material brought on record" 3. The assessee happenes to be an individual engaged in the business of trading in shares and securities. On the basis of information received that the assessee had obtained accommodation entries in form of loan and advances for Rs. 8,71,00,000/- from one M/s. Basant Marketing Private Ltd.. Kolkata, the Assessing Officer reopened the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ollowing reasons, "(i) The amount received as loan by the appellant from M/s Basant Marketing P. Ltd. is through regular banking channels. Thus, the appellant has proved the identity of the creditor and the genuineness of the transactions, which has been further strengthened by filing confirmation from the creditor. (ii) On going through the bank amount of M/s Basant Marketing P. Ltd. with ABN amro Bank from which amount was transferred to appellants account, it is found that there is no cash deposit in the said bank account of the creditor immediate before transferring money to the appellants bank account. In the said account, there are hardly few cash entries of small amount throughout the year. All the transactions in the said bank a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rse of the appellate proceedings also support the case of the assessee. The AO is therefore directed to assess the total income as declared by the assessee in its return of income by not treating the assessee company as fake or bogus. Ground no 1 to 4 are allowed. Ground no 5 and 6 are directed against the legal validity of the impugned order in as much as it was illegal and bad-in-law. The Ld ARs did not elaborate these grounds. I find no legal infirmity in the impugned order. Ground no 5 and 6 are dismissed. Ground no 7 is general in nature." 3.5 In the proceedings thus M/s. Basant Marketing Private Ltd. was found to be a genuine company and transaction of the said company was found to be in order. The Revenue took the matter to the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Marketing P. Ltd. wherein it is mentioned that Basant Marketing is not a fake company and its activities are genuine." 4. Now in the present case, it is to be recollected that the allegation against the assessee was that it had obtained accommodation entry in form of loan to the tune of Rs. 8.71 crore from the said M/s. Basant Marketing Private Ltd. and that the said party was not genuine company. It was the information received that the said party M/s. Basant Marketing Private Ltd. was one of the 20 fake companies amongst the group of companies created by one Dalmiya. On the basis of such information, the department proceeded against the assessee denying the assessee the benefit by treating the loan from the said M/s. Basant Marketing Pr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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