Dismissing the petition the court held that  an audit objection can constitute information on basis of which reassessment proceeding can be initiated.  Explanation 1, clause (ii) to second proviso of section 148 clearly provides that any audit objection to effect that assessment in case of assessee for relevant assessment year has not been made in accordance with provisions of Act is included in term ‘information regarding escaped assessment’.  Accordingly  where an audit objection was raised that assessment of assessee had not been framed properly in accordance with provisions of Act and it was a case where assessee was indulging in providing accommodation entries, merely because at one stage Assessing Officer had answered to queries raised by auditor regarding assessment being in accordance with provisions of Act and there being no illegality therein, will not mean that information in form of audit objection could not be relied upon to opine that income chargeable to tax had escaped assessment. Existence or non-existence of information could be subject matter of litigation but not sufficiency thereof. (AY. 2015-16)