Rameshwar Fakirchand Totala Vs ITO (ITAT Pune)
Unauthenticated WhatsApp chats recovered from the mobile phone of a third party, unsupported by independent corroborative evidence and without establishing their legal authenticity, cannot by themselves form the basis for making an addition under section 69 as unexplained investment in the hands of another assessee. Further, the presumption arising under section 132(4A) from search material is not automatically available against a third party.
Facts of the Case: The assessee was an individual and a practicing advocate. A search and seizure operation under section 132 was conducted on 30 November 2023 in the cases of Manjeet Pride Group, Gadiya Group and their associated entities. During the course of the search, the mobile phone of Shri Prakash Motwani was examined, and certain WhatsApp chats were allegedly found indicating unaccounted “Bhisi” transactions involving various persons. Based upon information allegedly emerging from the WhatsApp data recovered from the mobile phone of Shri Motwani, information concerning the assessee was forwarded by the Investigation Wing to the Assessing Officer. Consequently, reassessment proceedings were initiated by issuing notice under section 148.
During the reassessment proceedings, the Assessing Officer alleged that the WhatsApp data reflected payments aggregating to ₹10,52,450 made by the assessee towards Bhisi transactions during the relevant financial year. The assessee disputed the allegation and denied that the WhatsApp messages constituted reliable evidence of any unexplained investment made by him. Nevertheless, the Assessing Officer treated the alleged amount as unexplained investment under section 69 of the Income-tax Act and added ₹10,52,450 to the income of the assessee.
