SAFEMA Tribunal Condones Delay in Review of Orders Based on Recalled Ganpati Dealcom Judgment

Santosh Kumar Gautam Vs Initiating Officer (Appellate Tribunal under SAFEMA, New Delhi)

Recall of Ganpati Dealcom Judgment Constitutes Fresh Cause for Review—Ten-Month Delay by Department Condoned to Prevent Conflicting Benami Orders

Background of the proceedings

The Tribunal had earlier decided the connected Benami appeals by an order dated 15.12.2022, relying upon the Supreme Court’s judgment in Union of India v. Ganpati Dealcom Pvt. Ltd., reported in (2022) 447 ITR 108.

The original Ganpati Dealcom judgment had held, broadly, that the substantive and penal provisions introduced by the Benami Transactions (Prohibition) Amendment Act, 2016 could not be applied retrospectively to transactions entered into before 01.11.2016.

While disposing of the appeals, the Tribunal had granted liberty to seek review if the Supreme Court subsequently reconsidered its judgment.

The Supreme Court thereafter recalled the Ganpati Dealcom judgment by an order dated 18.10.2024 and permitted parties affected by orders based upon that judgment to pursue appropriate review proceedings.

The Department filed review applications before the Tribunal only on 12.09.2025, giving rise to a delay of approximately ten months even after excluding the period until the Supreme Court’s recall order.

Department’s explanation for the delay

The Department contended that there was no occasion to seek review until the Supreme Court recalled the judgment on 18.10.2024. Therefore, the cause for filing the review applications arose only on that date.