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Report No. 57

6.25. Second alternative.-

The second alternative is less drastic than the first. In form, it could follow the existing statutory provision limiting the judicial recognition of benami transactions, such as, section 66, Code of Civil Procedure, 1908. But its scope would be much wider. The provision1 could be to the effect that no suit shall lie to enforce a right in respect of any property held benami, either against the person in whose name the property is held or against any other person, by or on behalf of a person who claims to be the real owner of the property on the ground that the person in whose name the properly is held is a benamidar of the claimant. (If necessary, a defence can also be barred).

1. This is not a draft.



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