No section 68 addition can be made on the basis of mere statements

Modern Malleables Limited Vs DCIT (ITAT Kolkata) Conclusion: Addition made u/s. 68 only on the basis of two statements which could not stand the scrutiny of law, was not justified and therefore, the addition could not be sustained as per law. Held: AO got information from the Investigation Wing pursuant to search operation conducted at the premises of one, Mr. A and Mr. J at Kolkata. A had confessed that he and Mr. J were entry operators who control penny/shell companies, which were engaged in giving one time entry of bogus share capital or expense or unsecured loans/advances in lieu of small ...