Ito -24(2)(1), Mumbai, Piramal ... vs Kailash Chandra Gupta, Huf, Mumbai on 26 July, 2024
(17) Shamim M. Bharwani Mumbai Vs. ITO-19(3)(4), Mumbai ITA No.
4906/Mum/2011 (A.Y. 2006-07), Hon'ble Mumbai ITAT : In this case,
Hon'ble ITAT referred to the case of Ziauddin A. Siddique ITA No. 4699 and
4700/Mum, where the findings of the CIT(A) were reversed and held that, a
penny stock company, Eltrol Ltd., exposing the modus operandi adopted by
assessee, in the case of such stocks, the price, de-horse any fundamentals or
other factor, of paper companies being raked up on the exchange, so as to
yield "gain" and then again, equally, without basis, grounded to yield "loss",
both of which, i.e., "gain" and "loss" find ready customers or takers. The
purpose is to evade tax.