SAFEMA Tribunal confirms attachment of assets worth ₹2.65 crore, rejecting unproven family loan and future benefit claims.
SAFEMA Affirms Benami Attachment Without Documentary Support
The Special Appellate Forum for FEMA (SAFEMA) Tribunal has upheld the attachment of benami properties valued at over ₹2.65 crore, rejecting claims of a verbal family loan and anticipated future benefits as inadequate proof of legitimate ownership.
The respondents argued that funds for the properties arose from an undocumented family arrangement. The Tribunal held that such assertions, unsupported by written evidence, accounting records, or witness testimony, failed to rebut the presumption of benami under the Prohibition of Benami Property Transactions Act.
This decision underscores the necessity of documentary proof in demonstrating lawful source of funds. Practitioners must advise clients to maintain clear financial trails where familial or informal transactions are involved, especially in real estate holdings.
