Bandana Pattanayak v. Initiating Officer: Property purchased in relatives’ names using brother’s unevidenced loan funds constitutes a benami transaction, satisfying future benefit provisions.

11. 2026 (8) TMI 817 (SAFEMA - New Delhi)

Smt. Bandana Pattanayak, Shri Anup Majee and Shri Ashok Pattanayak v. Initiating Officer, Kolkata

Date of Order : 09.7.2026

In absence of the means to purchase the property by the Benamidar and in absence of documentary evidence to establish the amount given to the Benamidar as a loan by the Beneficial Owner, the property purchased in the names of the sister and brother in law (benamidars) from the funds transferred by the brother (brother-in-law) will be a Benami Transaction.

The condition regarding future benefit under section 2(9)(A) of the PBPT Act is not confined to a specified period and can take place any time in the future. Moreover, such condition need not be satisfied at the time of provisional attachment.

FACTS

The Appellants are Mr. Anup, Smt. Bandana and Mr. Ashok. It was the case of the Initiating Officer that Mr. Anup, who is the Beneficial Owner herein has purchased three properties in the names of his sister, Smt. Bandana and brother-in-law, Mr. Ashok who are the Benamidars. The consideration for purchase of properties was paid by Mr. Anup. Since the properties were p