Tribunal to try benami cases soon
News:
- The government has approved the appointment of Adjudicating Authority and establishment of Appellate Tribunal for speedy disposal of cases related to benami transactions.
Important Facts:
- The Adjudicating Authority and Appellate Tribunal has been created under Prohibition of Benami Property Transactions Act (PBPT), 1988.
- Salient Features of Adjudicating Authority and Appellate Tribunal (AAAT):
- Appointment of an Adjudicating Authority, along with the three additional Benches and to establish the Appellate Tribunal under the PBPT Act.
- To provide the officers and employees to Adjudicating Authority by diverting the existing posts at the same level/rank from the Income Tax Deptt./Central Board of Direct Taxes (CBDT).
- The AAAT will be based in Delhi and benches of Adjudicating Authority may sit in Kolkata, Mumbai and Chennai, after making consultation with the Chairperson of the proposed Adjudicating Authority.
- Background:
- The government had notified sessions courts in 34 States and Union Territories, which will act as special courts for trial of offences under the benami transaction law.
- Significance:
- Effective and better administration of cases referred to the Adjudicating Authority.
- Speedy disposal of appeals filed against the order of the Adjudicating Authority before the Appellate Tribunal.
- It would provide first stage review of administrative action under the PBPT Act.
- About Benami transaction:
- It refers to transactions made in a fictitious name, or the owner is not aware of the ownership of the property, or the person paying for the property is not traceable.
- The rules and all the provisions of the Benami Transactions (Prohibition) Act came into force on November 1, 2016.
