Arindam Sinha, J. - (1.) This appeal against order dated 31st December, 1999 passed by the Income Tax Appellate Tribunal "E" Bench, Kolkata in IT(SS)A no.122/KOL/1997 pertaining to block assessment period 1986-87 to 20th August, 1995, preferred by Revenue, was admitted on 12th June, 2000. The relevant facts are that the business of the assessee is in the nature of operating transport vehicles. A search and seizure operation was conducted by the department in the premises of the assessee (both residential as well as business) on 6th and 7th August, 1996. In the block assessment made the first addition was in respect of three amounts aggregating Rs.1,83,923/-. The basis of this addition was that search revealed receipts of purchase of gold ornaments in the name of the assessee on different dates but the purchases were not entered in the relevant cash books of the assessee. Regarding investment in house property, it appears, though the Assessing Officer proposed addition of sum of Rs.23,33,000/- but he did not add back the same.
(2.) The Assessing Officer also added two amounts of Rs.2,06,000/- and 3,00,580/- upon discovery in search of details of cash payments during the financial year 1995-96 of Rs.2,06,000/- and in the period between 1st April, 1996 to 7th August, 1996 of Rs.3,00,580/-. These payments were not found as entered in the respective cash books and were added back as undisclosed income in the block period.
(3.) The next addition was aggregate sum of Rs.1,14,062/-. A part of the said amount though related to purchase of land for hotel project but was found to be unexplained expenditure. The other part was on account of interest on loan taken for repair of vehicle but diverted for purchase of capital asset. Another addition of aggregate sum of Rs.3,64,860/- was made as undisclosed income of the assessee for the financial year 1991-92 to 1995-96 being unexplained payments made to M/s. Gopal Credit Corpn., financier of vehicles.;