Updated By: LatestGKGS Desk
Amendment of Benami Transaction Act,1988 for illegal activities
Benami Transaction Act, 1988 amended as Benami Property Transaction Act,1988
A new law has been passed by the government known as Benami Property Transaction Act for illegal Benami transactions.
This law will be effective from November 2016 to curb the black money in the country.
Under this, the act defines Benami transactions where any illegal activity will result in imprisonment for seven years with fine.
Law defines improsonment for seven years
This law has been passed by the Government after the approval of Finance Minister Arun Jaitley in August.
The existing law provides imprisonment for three years or fine or both but now the amended act will provide imprisonment for seven years.
The existing Benami Transactions Act,1988 will be changed to Prohibition of Benami Property transactions Act,1988 .
The Government will be confiscating the property of the owner if found illegal.
