Bhan, J. - (1.) These appeals have been filed by the assessee against the final judgment and order dated 6th October 2001 passed by the High Court of Karnataka at Bangalore in ITRC Nos. 684/98, 685/98, 686/98 and 687/98 by which the High Court while setting aside the order of assessment passed by the Income Tax Appellate Tribunal (for short, the Tribunal) and that of the Commissioner of Income Tax (Appeals, held that the facts and circumstances of the case warranted levy of pen alty under Section 271(1)(c) of the Income Tax Act, 1961 (for short "the Act").
(2.) The assessment years involved in the present Appeals are 1984-85, 1985-86, 1986-87 and 1987-88. Facts :
(3.) A search was conducted on the premises of the assessees on 14th and 15th of October, 1987 and incriminating documents evidencing concealment of income by the assessee were unearthed apart from cash and jewellery found at the time of search. It was found that the appellant was maintaining double set of books and was ac counting for only 50% of sales in the regular set of books. This fact was admitted by Shri J.S. Ramesh, a partner of the firm in the statement recorded under Section 132(4) of the Act. Shri J.S. Ramesh is the person-in-charge of the entire group. The total turn over Supplressed by the assessee for the assessment year 1987-88 was found to be to the tune of Rs.44,07,783/-. These have been discussed in detail in the order of assessment. Assessing Officer estimated that the sales of the assessee were Rs.50,000/- per day, whereas the accounted sales were not found even 50% of the total sales. Apart from this, it was found that certain purchases were also not being accounted for. Similarly certain payments made were not being accounted for. All these were pointed out to the assessee. The assessee came forward with offer of additional income. Assessee filed a revised return on 31st March, 1989 declaring a total income for this year at Rs.3,74,226/- as against the earlier amount of Rs.43,650/-. This was accepted and after verification the assessment was completed on 29th De cember, 1989.;