{"id":7204,"date":"2015-05-27T14:05:00","date_gmt":"2015-05-27T14:05:00","guid":{"rendered":"http:\/\/localhost\/sccblog\/?p=7204"},"modified":"2015-11-03T11:43:45","modified_gmt":"2015-11-03T06:13:45","slug":"benami-transactions-prohibition-amendment-bill-2015","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2015\/05\/27\/benami-transactions-prohibition-amendment-bill-2015\/","title":{"rendered":"Benami Transactions (Prohibition) Amendment Bill, 2015"},"content":{"rendered":"<p><span lang=\"EN-US\">On 13.05.2015, the <i>Benami <\/i>Transactions (Prohibition) Amendment Bill, 2015 was introduced in Lok Sabha. The Bill seeks to amend the <i>Benami<\/i> Transactions (Prohibition) Act, 1988 (referred hereto as the principal Act) by introducing following amendments in the said Act:<\/span><\/p>\n<ul type=\"disc\">\n<li><span lang=\"EN-US\">Inserts a new Chapter I before Section 1 of the principal Act, which states that now the principal Act shall be called as \u201cProhibition of <i>Benami<\/i> Property Transactions Act, 1988\u201d, and provides a new definition clause in Section 2 of the said Act.<\/span><\/li>\n<li><span lang=\"EN-US\">Inserts a new Chapter II before Section 3 of the principal Act, namely \u201cProhibition of <i>Benami<\/i> Transaction\u201d, which omits Section 3 (2) &amp; (4) and Section 4 (3) of the principal Act, and inserts new Section 3(3) which provides for stringent punishment for entering into any <i>Benami<\/i> Transaction on or after the date of commencement of the <i>Benami<\/i> Transactions (Prohibition) Amendment Act, 2015.<\/span><\/li>\n<li><span lang=\"EN-US\">Substitutes Section 5 &amp; 6 of the principal Act, with following clause: <\/span><\/li>\n<\/ul>\n<p><!--if !supportLists--><span lang=\"EN-US\">\u00d8\u00a0 <\/span><!--endif--><span lang=\"EN-US\">&#8220;5. Any property, which is subject matter of <i>Benami<\/i> transaction, shall be liable to be confiscated by the Central Government.<\/span><\/p>\n<p><!--if !supportLists--><span lang=\"EN-US\">\u00d8\u00a0 <\/span><!--endif--><span lang=\"EN-US\">6. (1); No person, being a <i>Benami<\/i>dar shall re-transfer the <i>Benami<\/i> property held by him to the beneficial owner or any other person acting on his behalf.<\/span><\/p>\n<p><span lang=\"EN-US\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 (2) Where any property is re-transferred in contravention of the \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0provisions of sub-section (1), the transaction of such property shall be deemed to be null and void.&#8221;<\/span><\/p>\n<ul type=\"disc\">\n<li><span lang=\"EN-US\">Inserts a new Chapter III after Section 6 of the principal Act, which provides provisions relating to appointment of adjudicating authority to exercise jurisdiction, powers and authority under the said Act.<\/span><\/li>\n<li><span lang=\"EN-US\">Inserts a new Chapter IV, which provides for procedure to issue notice to any person who is believed to be a <i>Benamidar <\/i>in respect of a property, and also procedure for attachment of the property involved in <i>Benami<\/i> transaction. The Chapter also includes provisions for adjudication of <i>Benami<\/i> property; confiscation &amp; vesting of the said property; possession and management of the property confiscated thereto.<\/span><\/li>\n<li><span lang=\"EN-US\">Inserts a new Chapter V, which provides for establishment of Appellate Tribunal to hear appeals against the orders of the Adjudicating Authority, its composition and powers thereto. The Chapter bars the jurisdiction of civil courts to entertain any suit or proceeding in respect of any matter in which the Adjudicating authority or Appellate Tribunal have power to determine under the Act. The Chapter also provides that any party aggrieved by the decision or order of the Appellate Tribunal may file appeal to the High Court.<\/span><\/li>\n<li><span lang=\"EN-US\">Inserts a new Chapter VI, which provides for designation of one or more Court of Session as Special Court\/s for trial of offence punishable under the said Act.<\/span><\/li>\n<\/ul>\n<ul type=\"disc\">\n<li><span lang=\"EN-US\">Inserts a new Chapter VII, which provides for rigorous imprisonment for a term not less than a year and which may extend to seven years, along with a fine of 25% of the fair market value of the property on any person who is found guilty of the offence of <i>Benami<\/i> Transaction. The Chapter also provides penalty for false information.<\/span><\/li>\n<li><span lang=\"EN-US\">Substitutes a new Chapter VIII for Sections 7 &amp; 8 of the principal Act, which repeals Section 81, 82 and 94 of the Indian Trust Act, 1882; Section 66 of the CPC, 1908; and Section 281A of the Income-tax Act, 1961. The Chapter also provides power to the Central Government to exempt any property relating to charitable or religious trusts from the operation of this Act.<\/span><\/li>\n<li><span lang=\"EN-US\">Renumber Section 9 of the principal Act as Section 72 thereof.<\/span><b><span lang=\"EN-US\">\u00a0<\/span><\/b><\/li>\n<\/ul>\n<p align=\"right\"><b><span lang=\"EN-US\">-Lok Sabha<\/span><\/b><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On 13.05.2015, the Benami Transactions (Prohibition) Amendment Bill, 2015 was introduced in Lok Sabha. The Bill seeks to amend the Benami Transactions <\/p>\n","protected":false},"author":3,"featured_media":22531,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,13],"tags":[],"class_list":["post-7204","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-statutes"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Benami Transactions (Prohibition) Amendment Bill, 2015 | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.scconline.com\/blog\/post\/2015\/05\/27\/benami-transactions-prohibition-amendment-bill-2015\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Benami Transactions (Prohibition) Amendment Bill, 2015\" \/>\n<meta property=\"og:description\" content=\"On 13.05.2015, the Benami Transactions (Prohibition) Amendment Bill, 2015 was introduced in Lok Sabha. 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