Lok Sabha passes Benami Transactions Bill

In an attempt to curb black money, Lok Sabha on Wednesday passed the Benami Transactions Amendment Bill, 2015, which aims to ban benami (proxy) transactions and prevent circumvention of law through unfair practices.

Finance Minister Arun Jaitley tabled the bill in the Lok Sabha and said the legislation was predominately an anti-black money measure and its purpose is to seize benami property and prosecute those indulging in such activities, PTI reported.

"A lot of people who have unaccounted money buy benami property in the name of fictitious persons ... these transactions have to be discouraged," he said.

On concerns expressed by certain members about religious properties or those owned by deities or religious institutions, Jaitley said the government under this Bill will exempt such bonafide entities.

"There is Section 58 under the law which clearly states that charitable or religious organisation properties, the government has power to exempt those," PTI said quoting Jaitley as stating in a reply to concerns of some members about the applicability of the amended law on properties in the name of holy books and deities.