Dismissing the miscellaneous application of the revenue , the Tribunal held that ; The ITAT is an adjudicator and not an investigator. It has to rely upon the investigation / enquiry conducted by the AO. The Dept cannot fault the ITAT’s order and seek a recall on the ground that an order of SEBI, though available, was not produced before the ITAT at the hearing. The negligence or laches lies with the Dept and for such negligence or laches, the order of the ITAT cannot be termed as erroneous- Rectification application of the department is dismissed .( M.A. No.29/Mum./2017, dt.10.09.2018)(AY. 2007-08)
ITO v. Iraisaa Hotels Pvt.Ltd. ( 2018) 173 ITD 30(Mum)(Trib),www.itatonline.org
S. 254(2):Appellate Tribunal-Rectification of mistake apparent from the record –Bogus share capital- The ITAT is an adjudicator and not an investigator. It has to rely upon the investigation / enquiry conducted by the AO. The Dept cannot fault the ITAT’s order and seek a recall on the ground that an order of SEBI, though available, was not produced before the ITAT at the hearing. The negligence or laches lies with the Dept and for such negligence or laches, the order of the ITAT cannot be termed as erroneous- Rectification application of the department is dismissed .[ S.68]