JUDGMENT By the Court—Challenging reassessment notice dated 28.3.2005 under Section 148 of the Income Tax Act, 1961 for the Assessment Year 1998-99, present writ petition has been filed. The petitioner is a Doctor by profession. He disclosed certain income under Voluntary Discloser Income Scheme (VDIS), 1997. He also disclosed Gold ornaments weighing 1475.100 gms. The disclosure made by the petitioner was accepted by the Department. Subsequently the said Jewellery was sold on 4.2.1998 through M/s Bishan Chand Mukesh Kumar for Rs. 5,31,036.00 and sale consideration was received by demand draft. 2. The assessment proceeding of the petitioner was completed under Section 143(3) of the Income Tax Act. Thereafter, the Department sought to initiate reassessment proceedings on the ground that the person namely M/s Bishan Chand Mukesh Kumar through whom Jewellery was sold was assessed by the Income Tax Department and it was found that the said party through whom the ornaments were sold indulged in fake sales/purchases transactions of ornaments. Copy of the assessment order of M/s Bishan Chand Mukesh Kumar has been annexed as Annexure 12 to the writ petition. 3. In view of the facts as found in the assessment order of M/s. Bishan Chand Mukesh Kumar, notice under Section 148 was issued. 4. The reasons to form belief that the income of the petitioner has been escaped has been annexed as Annexure 10 to the writ petition. 5. Heard Sri Rakesh Ranjan Agrawal and Sri Ashutosh Srivastava for the petitioner and Sri Dhananjay Awasthi for the Department. 6. Learned counsel for the petitioner strenuously contended that there is no material in possession of the Department to form belief, that the income of the petitioner has escaped assessment. 7. After hearing learned counsel for the parties at some length and perusing the reasons recorded by the Department for issuing reassessment order, we are satisfied that the department has sufficient material to form belief that the income of the petitioner has escaped assessment. 8. 7. After hearing learned counsel for the parties at some length and perusing the reasons recorded by the Department for issuing reassessment order, we are satisfied that the department has sufficient material to form belief that the income of the petitioner has escaped assessment. 8. The reasons recorded by the department are reproduced below : “During the course of assessment proceedings in the case of M/s Bishan Chand Mukesh Kumar, Kucha Mahajani, Chandni Chowk, New Delhi whose assessment was completed under Section 158-BD read with Section 158-BC on 31.12.2004, it was established with M/s Bishan Chand Mukesh Kumar had done no real business and had only been used to provide bogus accommodation entries of purchase of jewellery to various persons on accommodation basis. The assessee Ashish Jaiswal had obtained a sum of Rs. 5,31,036/- against fake bill No. 1150 dated 8.1.1998. In the Assessment of Delhi Party, it was established that alleged sale consideration of jewellery constitute the undisclosed income assessed for A.Y. 1998-99. The amount of cheque receipts is in lieu of unaccounted money paid by the assessee and no jewellery was actually sold to M/s Bishan Chand Mukesh Kumar. Prima facie this transaction of entries evident from seized materials and enquiries carried out by the department in the case of DCMK, New Delhi is transaction for accommodation only. The assessee is assessed to tax in this circle in individual capacity. Hence the jurisdiction over the case lies with undersigned. Thus, on the above fact, I have reason to believe that income of Rs.5,31,036 for AY 1998-99 together with other income chargeable to tax has escaped assessment with the Explanation 2(b) of Section 147 as such issue notice under Section 148 for A.Y. 1998-99. Sanction under Section 151 of IT Act has been obtained from the C.I.T., Gorakhpur." 9. We have perused the assessment order of M/s Bishan Chand Mukesh Kumar (Delhi party). On a bare perusal of the assessment order along with the reasons recorded by the department we are satisfied that the Department has sufficient material to form belief that the income of the petitioner has escaped assessment. In the result we find no merit in the petition. It is made clear that any observation made above shall not influence or prejudice to the discretion of the authority in deciding reassessment proceedings. Petition is, accordingly, dismissed summarily. Petition Dismissed. ———