The assessment was reopened on the basis of an Investigation Wing report alleging that the assessee had obtained bogus exempt long-term capital gains from the sale of shares of NCL Research & Financial Services Ltd. The Assessing Officer treated the exempt LTCG as unexplained cash credit under section 68 and also made an addition towards alleged commission. The Tribunal held that the assessee had duly proved the purchase and sale of shares by producing purchase bills, contract notes, demat statements, bank statements, balance sheets, and evidence of payment through banking channels and receipt of sale proceeds through a recognized stock exchange after payment of STT. The statement of an alleged entry operator relied upon by the Revenue did not contain the assessee’s name and, despite a specific request, no opportunity of cross-examination was granted, contrary to the law laid down in Andaman Timber Industries. The Tribunal further held that mere reliance on a general investigation report or abnormal appreciation in the value of shares could not justify the addition in the absence of any specific adverse material against the assessee. Following various judicial precedents, including its coordinate Bench decision dealing with the same scrip, the Tribunal deleted the additions made under section 68 as well as the consequential addition towards alleged commission. (ITA No. 4020/Mum/2025, dt. 02-07-2026.   (AY. 2013-14 )