Mere modus of operandi without supportive material cannot be base for addition

DCIT Vs S.J. Infratech Pvt. Ltd. (ITAT Ahmedabad) ITAT Ahmedabad held that mere modus of operandi cannot the basis of making the addition or treating the transaction carried out in any share/scrip as bogus until and unless it is supported by the material documents. Facts- The only issue raised by the Revenue is that the learned CIT (A) erred in deleting the disallowances of bogus trading loss of Rs. 36,29,308/- in penny stock as well as commission expenses of Rs. 72,586/- only. The AO found that the company i.e. Regency Trust Ltd, incorporated in 1988 and registered as NBFC, was not having any...