Govt to consider new law to track benami deals

NEW DELHI: In a bid to deal with the menace of black money, the government is likely to consider the possibility of enacting a new law to track benami transactions at the meeting of the union Cabinet tomorrow.

The legislation, to be named as Benami Transactions (Prohibition) Bill, 2011, will replace the earlier legislation which was enacted in 1988.

The new law, according to sources, will empower the authorities to track benami transactions and confiscate such properties.

Benami transaction is referred to those deals which are undertaken by unscrupulous people in the name of fictitious persons to park unaccounted funds.

The new law, after approval by the Cabinet, is likely to be introduced in the monsoon session of Parliament, sources said.

The new law is also likely to put in place a time-bound mechanism to try cases of benami transactions.

The effort to update benami transaction will form part of the exercise by the government to unearth black money