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The AO observed that three shareholders namely Shri. Viharilal Jhawar, Smt. Urmila Devi Jhawar and Shri Pratik Jhawar as per chart above from whom share capital was raised during relevant previous year were „original shareholders‟ of the assessee company and other three shareholders per above chart namely Motivate Financial Services Pvt. Ltd , Tej Corporate Services Pvt. Ltd and Anumeeta Corporate Services Pvt. Ltd are 'new shareholders' who subscribed to the shares of the assessee company during the relevant period under consideration. It was observed by the AO that these three new shareholders have invested Rs. 1 crores each in the assessee company by subscribing to the equity shares of the assessee company having face value of Rs. 10 each at a share premium of Rs. 490 each per equity share. The assessee submitted confirmation of accounts of all these three new equity shareholders namely Motivate Financial Services Pvt. Ltd, Tej Corporate Services Pvt. Ltd and Anumeeta Corporate Services Pvt. Ltd along with the copy of the relevant page of the bank statement. The AO observed that all three loan confirmations of these I.T.A. No.6690/Mum/2016 three new shareholders were signed by one Shri. Pradeep Kumar. The assessee could not submit any documents/ evidence to prove genuineness and creditworthiness of these three investing companies namely Motivate Financial Services Pvt. Ltd, Tej Corporate Services Pvt. Ltd and Anumeeta Corporate Services Pvt. Ltd. . The AO deputed Inspector to make field enquiries and verify the whereabouts of the shareholders . The inspector submitted report dated 20.03.2015 wherein he stated that shareholders are not available on the given addresses and whereabouts of all these three investing companies are not known. The assessee was confronted about the result of the field enquiry being conducted by the inspector. The AO asked assessee to submit details/whereabouts of these three new shareholders and to prove the genuineness and creditworthiness of these three new shareholders who invested in assessee company to the tune of Rs. 1 crore each aggregating to Rs. 3 crores during the previous year relevant to the impugned assessment year. The assessee in response submitted their unsigned scanned copies of financial statements with respect to Motivate Financial Services Pvt. Ltd and Tej Corporate Services Pvt. Ltd.. No other documents were submitted by the assessee to prove genuineness and creditworthiness of these three new shareholders who introduced share- capital inclusive of share premium to the tune of Rs. 1 crores each aggregating to Rs. 3 crores during previous year relevant to the impugned assessment year. The AO observed that the total share capital ( inclusive of share premium) of the assessee company was Rs. 3.37 crores, out of which Rs. 3 crores is invested by the these three new shareholders which comes to 89.02% of the total capital fund of the assessee company and still the assessee is not able to trace these three new shareholders . It was observed by the AO that genuineness and creditworthiness of these three new shareholders could not be proved by the assessee and the onus was on the assessee to prove identity, genuineness and creditworthiness of these three new shareholders which was not satisfied by the assessee as genuineness and creditworthiness of these three new shareholders namely Motivate Financial Services Pvt. Ltd, Tej Corporate Services Pvt. Ltd and Anumeeta Corporate Services Pvt. Ltd. could not be proved which were treated by the AO to be unexplained and unproved chargeable to tax within deeming fiction of Section 68, which led to the additions to the tune of Rs. 3 crores in the I.T.A. No.6690/Mum/2016 hands of the assessee company, vide assessment order dated 28.03.2015 passed by the AO u/s 143(3) of the 1961 Act.

Now. Let us evaluate the quality of evidences furnished by the assessee before the authorities below which are placed in paper book filed before us containing 1-32 pages. The assessee has filed confirmation from these three parties which is signed by the same person namely one Mr. Pradeep Sharma in all the three cases (pb/page 1,11 and 21) which is indicative of the fact that one person controlled all these three new shareholders. The assessee did filed unsigned financial statements of M/s Motivate Financial Services Pvt. Ltd and Tej Corporate Services Pvt. Ltd. which has common auditors namely N H Vyas and Company which is again indicator of the same persons controlling these companies. The assessee did not filed financial statements of Anumeeta Corporate Services Private Limited. The perusal of the financial statements of the two new shareholders so filed namely M/s Motivate Financial Services Pvt. Ltd and Tej Corporate Services Pvt. Ltd. revealed that both the said companies have miniscule paid up capital of Rs. 1 lacs while share application money raised by them are Rs. 250 lacs which is stated to be invested as shown under the head „Investments‟ to the tune of Rs. 250 lacs, for which no details of investing companies as well invested companies are given in their financial statements. Their Income and cash flows are also not substantial but very modest and are not sufficient enough to justify that these companies are making genuine investments. The assessee has filed bank statement from 01-02-2012 to 31-03-2012 of M/s Motivate Financial Services Pvt. Ltd, Tej Corporate Services Pvt. Ltd. and Anumeeta Corporate Services Pvt. Ltd . The bank statement of Tej Corporate Servcies Private Limited filed in paper book did not reveal the transaction of investing of Rs. 100 lacs by the said company in the assessee company as no such bank entry towards transfer of Rs. 100 lacs to the assessee company could be seen from the bank statements filed before the tribunal (pb/page 13-14) . The perusal of the bank statement of these three parties otherwise clearly reveals that the money is just received in their bank account on several occasions which is immediately transferred out of their bank account to some other entities and the balance maintained at any given point of time in I.T.A. No.6690/Mum/2016 their bank account is minuscule . It is also observed from their bank statement for the period of February 2012/March 2012 that common parties are transferring huge amount of money into their bank accounts such as Loyana Mercantile Private Limited , Olympia Sales Agency Private Limited and Girivar Infrastructures Private Limited etc on several occasions . The perusal of the Balance Sheet of the two companies namely Motivate Financial Services Pvt. Ltd and Tej Corporate Services Pvt. Ltd. clearly reveals that they do not have any financial strength of their own to justify such a huge investment in the assessee company and that too at share premium of Rs. 490 per share as against face value of share of Rs. 10 each. The perusal of the financial statements does not reveal that these companies are into any organised business of certain magnitude while perusal of the financial statements typically reveals and points towards peculiarity of being typical a shell companies which instead of doing any genuine business are undertaking huge voluminous movement of money from one entity to another entity.