Union Cabinet gave to Benami Transactions (Prohibition) (Amendment) Bill, 2015.

The Bill seeks to amend the Benami Transactions (Prohibition) Act, 1988 by adding additional provisions that provides for Strict measures against violators in order to scan and check the generation of black money in the country.

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• It also adds provisions for attachment and confiscation of benami properties and imposes fine with imprisonment.
• The Bill seeks to amend the Benami Transactions (Prohibition) Act, 1988
• The Bill aims to act as a major route for blocking benami property, especially in real estate.
• Earlier in 2011, then ruling UPA-II government had introduced Benami Transactions (Prohibition) Bill, 2011, which had proposed replacing the 1988 parent Act.
• The bill provides for stringent punishment to violators such as confiscation of wealth, imprisonment, and fine.
• The bill was not able to pass in Parliament and had lapsed with the dissolution of Lok Sabha
• The bill provides for stringent punishment to violators such as confiscation of wealth, imprisonment, and fine.

What is Benami?

Benami implies buying immovable and other properties in others’ names to avoid tax and disclosure of ownership. The practice has been prevalent in India for decades and is considered one of the major causes of generation of black money.