Shyamsundar Sharma Vs ACIT/Initiating Officer (Delhi High Court)
Delhi High Court held that the Initiating Officer has given reasons to believe as to how petitioner is a Benamidar. Further, writ is not admitted as petitioner has an efficacious remedy before Adjudicating Officer under Section 26 of the Benami Act.
Facts- The petitioner has filed the present writ petition under Article 226 of the Constitution of India challenging a Show Cause Notice issued u/s. 24(1) dated 21.03.2025, Provisional Attachment Order u/s. 24(3) dated 21.03.2025, Provisional Attachment Order u/s. 24(4) dated 30.07.2025 and the consequent Notice issued by Adjudicating Authority u/s. 26(1) dated 29.08.2025 issued under the Prohibition Of Benami Property Transactions Act, 1988 as amended by the Finance Act 2021.
Conclusion- Held that the Initiating Officer has written in detail as to what are the reasons to believe that the petitioner is a Benamidar. This opinion cannot be tinkered with by the Court specially when the petitioner has an efficacious remedy before Adjudicating Officer under Section 26 of the Benami Act.
Held that in show cause notice, the Initiating Officer has given reasons as to how it is a case of Benami transaction and at this initial stage, this Court would not like to enter into the complexities of the merit and evidence of the case for the purpose of determination of a Benami transaction.
