DO NOT ENTER INTO BENAMI TRANSLATIONS. IT’S ILLEGAL AND PUNISHABLE
Benami Transaction is an arrangement in which a property (movable or immovable) is transferred to or held in the name of one person (Benamidar), but is actually owned and enjoyed by another person (beneficial owner). For exceptions – refer to The Prohibition of Benami Property Transactions Act 1988
Benamidar (in whose name benami property is standing), beneficiary (who actually paid consideration) and persons who abet and induce benami transactions are prosecutable and may face Rigorous Imprisonment up to 7 years besides being liable to pay fine upto 25% of fair market value of benami property.
Persons who furnish false information to authorities under Prohibition of Benami Property Transactions Act, 2016, are prosecutable and may be imprisoned up to 5 years besides being liable to pay fine up to 10% of fair market value of benami property.
Benami property may be attached and confiscated by the Government.
These actions are in addition to actions under other laws such as Income-tax Act, 1961.
We urge every conscientious citizen to help the government in eradicating it.
Income Tax Department has already attached and confiscated benami properties worth more than Rs. 6,900 Crores.