After long years, law makers of India are doing what should have been done much earlier. Benami Transaction (Prohibition) Act will not be applicable on properties bought by wife from her income in name of husband. Till now, under the said Benami law, husbands were allowed to buy the assest in name of wife , but same legal power was not with wife.government plans to amend the sections that deal with transactions carried out in the name of family members, said a government official privy to the proposed amendments in the Act.
Whether under the tremendous burden of black money out cry by various personalities or woman power in India, the Benami Transaction (Prohibition) Act which was enacted in 1988, but was not notified till now , is going to resurrect , thanks to pressure to expedite the new legislation on government.The government is in the process of amending the Benami Transaction (Prohibition) Act, which will give it the power to confiscate any property that is declared benami. The new law will set up an authority and empower it to confiscate an asset deemed to be benami if the owner fails to provide proven source of earning. But assets of family members declared benami will not be confiscated. Such a property, however, will remain benami and cannot be claimed as a genuine purchase later by the person who holds it in his name.
Benami transaction is a deal in which a property is transferred to one person while the consideration is paid or provided by another person.Under Benami Transaction Act ,meaning of property is wide to include property of any kind, whether movable or immovable, tangible or intangible, and includes any right or interest in such property.