PIAREY LAL Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) Heard Sri Gaurav Mahajan, learned counsel for the assessee, and Sri Shambhu Chopra, learned standing counsel for the Revenue.

(2.) The following two questions of law under Section 256(1) of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), have been referred for the opinion to this court : "1. Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was justified in rejecting the claim of the assessee that the credits were genuine borrowings and not his untaxed funds and restoring the addition of Rs. 63,000 on account of credits appearing in the name of S/Shri Satish Chand, Ram Lal, Vijay Chand and Dharam ? 2. Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was right in rejecting the material on record in arriving at a finding regarding the aforesaid cash credits ?"

(3.) The facts giving rise to the present reference are as follows :