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BMA Nos. 04, 05 & 06/KOL/2022 (A.Y. 2018-2019) Shri Anurag Kejriwal, Smt. Uttara Kejriwal & Smt. Tara Kejriwal

b). The assessee was in Geneva from 15-5-2007 to 19.5.2007 where he met one Mr. Hui Li of China, who suggested to purchase the company NCL. Mr.Hui Li was known to the Assessee when he met him in china in 2006 when he had gone on a sales promotion tour to China. At his advise that Assessee's business prospects would improve, if he has a company in BVI and he can get exclusive agency for export of iron ore to china, the Assessee sent US $ 15000 on 8.7.2007 through remittances from HDFC Bank Account in the name of AICPL as share application money for purchse of shares in NCL in the name of the Assessee and his wife. Pge-34 of the paper book is a copy of the share application money ledger account in the books of AICPL which would show the share application money was paid for investment in shares of NCL in the name of the Assessee and his wife. There was a liberalized Scheme of RBI which permitted remittances upto US $ 25000 for business promotion purposes, without approval of RBI. Copy of the RBI circular permitting remittances without permission is at page 183 to 189 of the paper book. The Assessee sent copies of his passport and that of his wife's and mother's passport and KYC documents to enable complete the transactions. Mr.Hui Li promised to arrange for resolution of Board of Directors of NCL in due course, which was a requirement under the laws of BVI.

BMA Nos. 04, 05 & 06/KOL/2022 (A.Y. 2018-2019) Shri Anurag Kejriwal, Smt. Uttara Kejriwal & Smt. Tara Kejriwal

9.We also note that as per the procedure of the Bank, the physical presence of the assessee is required for opening the Bank account. However, on the date of opening the bank account in the BNP Paribas (Geneva), the assessee was not present as evidenced by the copy of the Passport as placed before us and is available in the paper book. In other words, the assessee had not visited the above country on the date of opening of the Bank accounts and, therefore, the arguments of the assessee that how he could put his signature on the application form, which is a vital piece of evidence furnished by the assessee before us to rebut the finding of the Revenue. We also note that the assessee was in Geneva from 15.05.2007 to 19.05.2007 where he met Mr. Hui Li of China, who suggested the assessee to purchase the company NCL. Mr. Hui Li was known to the assessee when he met him in China in 2006 when he had gone on a sales promotion tour to China. Mr. Hui Li of China advised that assessee's business prospects would improve, if he has a company in BVI, and he can get exclusive agency for export of iron ore to China and, therefore, the assessee sent US $ 15,000 on 08.07.2007 through remittances from HDFC Bank Account in the name of AICPL as share application money for purchase of shares in NCL in the name of assessee and his wife. Copy of share application money ledger account available at page 34 of the paper book which indicates that share application money was paid for investment in shares of BMA Nos. 04, 05 & 06/KOL/2022 (A.Y. 2018-2019) Shri Anurag Kejriwal, Smt. Uttara Kejriwal & Smt. Tara Kejriwal NCL in the name of assessee and his wife. Since the assessee was engaged in the business of export of iron ore to China, the assessee purchased shares in NCL in his name and his wife. It was also argued that there was a liberalized scheme of RBI which permitted remittances upto US $ 25,000, for business promotion purposes, without approval of RBI. It was argued that the assessee sent copies of his passport as well as that of his mother and wife and other KYC documents to enable complete the transactions. Mr. Hui Li promised to arrange for resolution of Board of Directors of NCL in due course, which was a requirement under the laws of BVI.