Regarding cash advances

Sir I want to know that one person advance a sum of rs 5 lac in cash to one person in cash and filed an fake recovery suit in court of law, whereas he has excepted that he has advance cash Rs 5 lac to an person in cash. Sir this amount has been recorded in court, sir now I want to know that the said person advances in cash in a one financial year under the INCOME tax act. Or he will be penalized. Under the income tax act. Thanks.