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1995 (7) TMI 64 - SC - Benami PropertyWhether the prohibition to file a suit or to take up a defence in respect of a benami transaction imposed by section 4 of the Benami Transactions (Prohibition) Act, 1988 applies to a benami transaction of purchase of property by a person in the name of his wife or unmarried daughter? Held that:- Since the plaintiff is the husband who had the right to enter into a benami transaction in the matter of purchase of property in the name of his wife or unmarried daughter, as we have held earlier, he is entitled to enforce his rights in the properties concerned if he can succeed in showing that he had purchased them benami in the name of his wife. But in view of the statutory presumption incorporated in sub-section (2) of section 3 of the Act, he can get the relief sought in the suit only if he can prove that the properties concerned had not been purchased for the benefit of the wife, even if he succeeds in showing that the consideration for the purchase of the properties had been paid by him. Allow this appeal, set aside the order of the Division Bench of the High Court, uphold the order of the learned single judge rejecting the application of the defendant-wife for rejection of the plaint, and remit the suit to the Delhi High Court for disposal according to law and in the light of this judgment.
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