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"If the share application money is received by the assessee company from alleged bogus shareholders, whose names are given to the AO, then the department is free to proceed to reopen their individual assessments in accordance with law, but it cannot be regarded as undisclosed income of Assessee Company."

The present case is distinguishable on facts. In case of M/s Lovely Exports Limited, the Hon'ble Delhi High Court noted that the Assessing Officer has neither controverted nor disproved the material filed by the assessee. Again, the Hon'ble Delhi High Court, in the ITA Nos. 600,601 & 602/CHD/2024 A.Y. 2013-14, 2014-15 & 2015-16 case of Commissioner of Income-1 ax vs. Nova Promoters & Finlease (P) Limited. 342 ITR 169 (Del) has discussed the decision of the Hon'ble Supreme Court in the case of CIT vs. Lovely Exports P. Ltd. [2008] 216 CTR (SC) 195 viz-a-viz it's application in the case of a private Ltd. company and in cases where AO has through his investigations/enquiries established that the contributions of share capital is/are bogus/by nonexistent persons/entity of no means. The decision of Lovely Exports is not going in favour of the assessee as the ingredients of a transaction covered u/s 68 were completely looked into.