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2020 (6) TMI 588 - HC - Benami PropertyBenami transaction - sale deeds standing in the name of deceased - consistent case of the defendants is that Lakhiya Devi purchased the said property from her Stridhan ornaments, gifts and valuable assistance from her two sons and married daughters and also by selling vegetables in the market and the entire lands were purchased by her from her personal income - HELD THAT:- The issue akin to this Court has already been decided by the Apex Court in the case of Nand Kishore Mehra [1995 (7) TMI 64 - SUPREME COURT]. It has been held in the said case that “Sub-Section 2 of Section 3 permits a person to enter into benami transaction of purchase of property in the name of his wife or unmarried daughter by declaring that the prohibiton contained against a person in entering into a benami transaction in sub-section (1) of Section 3, does not apply to him. The question of punishing the person concerned in the transaction under sub-section (3) thereof or the question of acquiring the property concerned in the transaction under Section 5, can never arise. Otherwise the exemption granted under Section 3 (2) would become redundant”. The suit has been rightly dismissed by both the courts below as the plaintiff has not impleaded his other sons or daughters as party in the suit, as their interest also involved in the suit as they have also inherited the property of her mother Lakhiya Devi. They have not been impleaded party by the plaintiff even after objection raised by defendants in their written statement. Thus, both the courts below have rightly held that suit is barred under the provisions of Benami Transaction (Prohibition) Act, 1988 as well as the suit is also barred for non-joinder of necessary parties. The sale deeds standing in the name of Lakhiya Devi (deceased), wife of plaintiff are not self-acquired property of the plaintiff and the defendant no. 1 Kamla Kuer has valid right to execute power of Attorney with regard to land of her mother Lakhiya Devi to the extent of her share.
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