The Benami Transactions (Prohibition) Amendment Act, 2016, was amended comprehensively by the government of India, aiming to strengthen the Act in terms of legal and administrative procedure.
24 Benami Prohibition Units (BPUs) have been set up across India for taking action under the Benami Act. More than 400 benami transactions have been identified. Provisional attachment of properties under the Act has been done in more than 230 cases. The market value of properties under attachment is more than Rs. 800 crore.
•The amended Act, 2016 came into effect from 1st November, 2016.
•Relevant rules relating to the Act are duly notified.
•The Act prohibits benami transactions and empowers the authorities specified in the Act to provisionally attach and eventually confiscate the benami properties.
•The Act also provides for prosecution of any person found guilty of the offence of benami transaction by the competent court. The offence of entering into a benami transaction is punishable with rigorous imprisonment for a term not less than one year but which may extend to 7 years and shall also be liable to fine which may extend to 25% of the fair market value of the property.