The Tax PublishersCS (OS) 514/2019, IA No. 13848, 13849/2019 (for Exemption)
2019 TaxPub(DT) 6893 (Del-HC)

PROHIBITION OF BENAMI PROPERTY TRANSACTIONS ACT, 1988

Section

Till the plaintiff takes a categorical stand with respect to benami, it is not deemed appropriate to entertain the suit. Thus, suit was entertained for prohibitory and mandatory injunction only.

Applicability of provisions - Plaintiff not eligible to file suit - -

Plaintiff had sued his wife, for declaration that the plaintiff was the sole and absolute owner of property, mandatory injunction directing the defendant to handover the original Sale Deed of the said property; and permanent injunction restraining the defendant from parting with possession of the Sale Deed or creating any third party interest in the property. Held: From the tenor of the plaint, it appeared that when the plaintiff claims to be doing everything, he would certainly know whether his wife was an income tax assessee or not and as to how the property was dealt with in the income tax returns of the plaintiff and the defendant. It also needs adjudication, whether without saying the property is being held benami by an individual in the income tax returns, a plea of benami can be entertained. Though plaintiff also contended that the defendant, on the basis of the plaintiff also being a 50% owner of the property, be at least restrained from dealing with the property but till there is a proper plaint before this Court and till the plaintiff takes a categorical stand with respect to benami, it is not deemed appropriate to entertain the suit. The senior counsel for the plaintiff, under instructions, gives up the relief claimed of declaration and confines the suit to that for prohibitory and mandatory injunction only. Subject to the aforesaid, the suit was entertained.

REFERRED : Manoj Arora v. Mamta Arora 2018 SCC Online Del 10423 : 2018 TaxPub(CL) 0832 (Del-HC)

FAVOUR : Partly in favour of plaintiff

A.Y. :



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