COMMISSIONER OF INCOME TAX Vs. KEDAR NATH GUPTA

JUDGEMENT

(1.) THESE are five appeals filed by the Commissioner of Income Tax before this Court under Section 260A of the Income Tax Act, 1961, hereinafter referred to as the ,,Act. They relate to the different assessees but since they are all connected, they are disposed of by a common judgment.

(2.) SUBSTANTIAL questions of law were framed in the case of Kedarnath Gupta and Mani Kakkar in ITA No.713/2008 and 892/2008 respectively. These are as follows: - Kedarnath Gupta

(3.) ON the basis of the above, proceedings were initiated under Section 158BD of the Act against Kedarnath Gupta who is the respondent in ITA No.713/2008. He was required to file a return declaring his undisclosed income for the block period consisting of the period from 01.04.1988 to 27.08.1998. Kedarnath Gupta filed the block return declaring "nil" undisclosed income. Since he was stationed in Dubai, he would appear to have appointed one Anil Khatri as his power of attorney to sign the block return. The Assessing Officer appears to have issued a notice under Section 143(2) of the Act to Kedarnath Gupta at his Punjabi Bagh address in New Delhi requiring him to furnish the information regarding the sources of investment in KG Farm and Jyoti Farm, the sources of expenses incurred on the maintenance of the farm houses and also the details of all moveable and immoveable properties purchased and sold by him during the block period along with the capital gains or loss, if any. The bank accounts of Kedarnath Gupta were also called for. In addition, he was required to produce Rajinder Gupta on 15.03.2002 in connection with the sworn statement recorded from him on the date of search where he had referred to the purchase of farm houses by his brother Kedarnath Gupta. There was no response from the Kedarnath Gupta to this.