Property Law
Benami Property
Property held by one person (the benamidar) in their name, but actually paid for and beneficially owned by another person, which is generally prohibited by law.
Benami transactions — where the real owner hides behind someone else's name on the property records — are prohibited, and such property can be confiscated by the government, with both the actual owner and the benamidar facing potential penalties.
Limited exceptions exist, such as property held in the name of a spouse or child for their genuine benefit, sourced from known and legitimate income.
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