Maldunge Retreat & Farming Pvt. Ltd. Vs DCIT (ITAT Mumbai)
“5kg Mangoes” Meant ₹5 Lakh. But Whose Cash Was It?
Summary: A WhatsApp message recovered during a search said that “5kg mango” had been given to “Rajiv sir” for the “Mal-Dunge matter.” Statements recorded during the search explained the code as a ₹5 lakh cash payment. The Assessing Officer attributed the payment to Maldunge Retreat & Farming Pvt. Ltd. and added it as the company’s unexplained money under section 69A.
The Mumbai Tribunal deleted the addition. The message and statements gave the department a reason to investigate, but the link between the alleged payment and the assessee company had not been adequately established. The person whose statement supplied that link was not made available for cross-examination, and the Assessing Officer made no independent enquiry to test whether the payment was actually made on the company’s behalf.
The Message Found During the Group Search
Maldunge Retreat & Farming Pvt. Ltd. had filed its return for AY 2020–21 declaring a loss of ₹65,985. A search and survey involving the DB Realty and Dynamix groups and related persons took place on 7 October 2021. Among the digital material seized from the premises of Jayvardhan Goenka were WhatsApp communications referring to a Maldunge matter.
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