9911796707
TMI Blog2009 (11) TMI 18X X X X Extracts X X X X X X X X Extracts X X X X ..... order. The appeals are therefore dismissed. - 560 to 563 of 2009 and M.P. Nos.1 of 2009 - - - Dated:- 2-11-2009 - K. RAVIRAJA PANDIAN and M. M. SUNDRESH JJ. Mr. J. Balachandran for Mr. S. Sridhar for appellant in all T.Cs. JUDGMENT K. RAVIRAJA PANDIAN, J. - These appeals are filed against the order of the Income Tax Appellate Tribunal, Madras 'A' Bench, dated 29.9.2008 in ITA Nos.627, 628, 629 and 630/Mds/2007 respectively relating to the assessment years 1998-99, 1999-2000, 2001-2002 and 2002-2003 respectively. 2. Learned counsel Mr.Balachandran appearing for the appellant submits that the following questions of law would arise out of the common order and has advanced his argument with reference to the questions o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... read with Section 143(3) of the Act consequent to the search conducted on 25.11.2003, an addition of Rs.5,29,34,470/- being the purchase inflation of old bottles was made by the assessing officer. According to him, the study of seized material showed that the purchase of old bottles was inflated in several manifold by manipulating the accounts so as to enable the assessee to understate the profit of its business. The assessing officer has given reason to the effect that the assessee had made entries in the books of accounts as to the purchase of old bottles but those entries were not proved as genuine with relevant materials. The assessing officer has also disallowed a sum of Rs.14,82,288/- representing interest component on certain leas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Mr. Balachandran learned counsel appearing for the appellant has submitted that the order of the Tribunal cannot be legally sustainable with reference to the questions of law framed. 5. We heard the argument of the learned counsel appearing for the appellant and perused the material on record. 6. In respect of the first question of law, the inflation of the purchase expenditure of the old bottles, though for the sake of claim, the relief is disputed before the authorities, the fact remains that such huge inflation has been accepted by the Managing Director of the company, who offered a sum of Rs.74,50,000/- for taxation. It is also found proved by the authorities below that a very huge purchase of old bottles has been made by the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee and hence the interest component has to be allowed. Even for this claim, the assessee was not able to produce any material and on that score the Commissioner of Income-tax (Appeals) rejected the claim. 7. In respect of the non-competing fee in a sum of Rs.12 Crores and Rs.7 Crores to the Company and to the Managing Director, the Commissioner of Income-tax (Appeals) has given the relief in respect of the amount paid to the Managing Director on the ground that if at all any person, who would compete with the assessee is only Managing Director. As the Company would act only through the Directors of the Company, the non-competing fee paid in favour of the Company claimed as reduction has been rejected. The Tribunal has remitted ..... X X X X Extracts X X X X X X X X Extracts X X X X
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