In considering whether a particular transaction is benami, six circumstances can be taken as a guide: (1) source from which purchase money came; (2) nature and possession of property, after purchase; (3) motive, if any, for giving transaction a benami colour; (4) position of parties and relationship, if any, between claimant and alleged benamidar; (5) custody of title deeds after sale & (6) conduct of parties in dealing with the property after sale. Mere fact that financial assistance was given is not a determinative factor. Court held that the properties were purchased by the Defendants and the plaintiff has no right to claim ¼ share in the suit properties . (CA. NO. 1099 of 2008, dt. 09.04.2019)
P. Leelavathi v. V. Shankarnarayana Rao ( 2019) 263 Taxman 105/AIR 2019 SC 1938 (SC), www.itatonline.org
Benami Transactions (Prohibition of Right to Recover Property ) Ordinance , 1988.
S.2 : Benami transactions – Right to recover the property – Financial assistance was given is not a determinative factor –Burden of proving the Benami Transaction lie on the person who alleges – Failure of plaintiff to establish intention of father to purchase properties for and behalf of family – Transaction cannot be said to be benami in nature – Appeal of petitioner is dismissed.
Very helpful in searching law ì