COMMISSIONER OF INCOME TAX Vs. JAI KUMAR

JUDGEMENT

(1.) THIS appeal came up for hearing on 17.12.2007 on which day record was send for, then the matter came up for on 24.3.2008 on which date the record was reported to have been received but it was not found to be complete, and therefore, parties were directed to take necessary steps. Orally it was directed that both the parties shall make efforts to make available the complete record. This is how the matter came up yesterday, and instead of being listed for hearing it was listed for orders. In such circumstances, it was ordered to be listed today, and comes up today.

(2.) THE appeal is by the Revenue against the order of the learned Tribunal dated 13.1.2004, which has been admitted on 3.8.2004 by framing following substantial questions of law:

(3.) WE have gone through the note book being "Kachi Bahi", and after going through various entries recorded therein, making all earnest efforts in favour of the assessee also, we have not been able to persuade ourselves to accept, that the entries therein are not coded. To illustrate only some of them, the transaction of sale of poplin has been shown worth 63 paise, sale of saree has been shown worth Rs. 2/ -, sale of cloth has been shown for Rs. 3.31/ -, 35 paise have been shown to have been received, likewise 45 paise have been shown to have been received. Goods have been sent to the dealers by goods receipt worth Rs. 5.65/ -, or Rs. 4.25/ -, or Rs. 2.73/ -. A little common sense approach leaves no manner of doubt, that in the year 1994, to which the matter relates, it can possibly not be understandable, that saree would have been sold for Rs. 2/ -or poplin cloth would have been sold for 63 paise/ -, or cloth would have been sold for Rs. 3.31/ -, or the goods of nominal value as noticed above, would be sent to outside purchaser by goods receipt. Likewise goods have been sent to the dealer by goods receipt worth Rs. 5.65, or Rs. 4.25 in the year 1994, to which this matter relates. Such transactions are even beyond any imagination, as by then the loose coins were out of vogue, and the figures were rounded up. Apart from the fact that such paltry amount had no purchase value in the market. Thus, it is writ large that the note book/papers were maintained in a coded language.