Bogus Purchase- Addition should be on the basis of GP of assessee

Dharmendra N. Zaveri Vs ACIT (ITAT Mumbai) The issue under consideration is to confirm whether a disallowance of Rs.6,91,911/- being 12.5% of the alleged bogus purchases of Rs.55,38,294/-  is correct or not? The facts in brief are that the assessee filed return of income on 29.09.2009 declaring a total income of Rs.11,71,889/-. The case of the assessee was reopened u/s 147 by issuing a notice u/s 148 dated 10.03.2014 after AO received information from DGIT(Inv.) Mumbai that the assessee has made some purchases from hawala parties during the financial year 2009­-10 amounting to Rs. 55,38,294/...