DCIT Vs Sanjay Gaurishankar Agrawal (ITAT Nagpur)
1. Facts of the Case
1.1 The assessee, Shri Sanjay Gaurishankar Agrawal, had received unsecured loans amounting to ₹3.30 crores from M/s Anubhav Vinimay Pvt. Ltd. during AY 2014–15.
1.2 During a search and seizure operation conducted at the premises of the assessee, incriminating documents related to unsecured loans and investments in certain Kolkata-based companies were recovered. Statements were recorded wherein it was admitted that the assessee and his family were Directors in companies based at Kolkata.
1.3 In the assessment framed under Section 143(3) read with Section 153A, the AO made an addition of ₹3.30 crores under Section 68 on account of unexplained cash credits. Further, another addition of ₹95,60,988 was made under Section 68 regarding Long Term Capital Gains (LTCG) claimed by the assessee on sale of shares of M/s Esaar (India) Ltd., treating it as a bogus accommodation entry.
1.4 On appeal, the CIT(A) deleted both additions. Aggrieved by the CIT(A)’s order, the Revenue filed the present appeal before the Tribunal.
2. Arguments by the Revenue
2.1 The Revenue contended that the assessee failed to establish the creditworthiness of M/s Anubhav Vinimay Pvt. Ltd., as its major source of funds was share premium, allegedly originating from dubious sources.
