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2022 (6) TMI 327 - MADRAS HIGH COURTBenami transaction - availability of joint family property or income - joint family acquisition - Purchase of property in the name of wife (Mrs. A) - Presumption of joint family income and joint family funds - Whether (Mrs. A) held the property for the benefit of the joint family members? - HELD THAT:- The plaintiff has nowhere alleged that (Mrs. A) held the property for the benefit of the joint family members. Mere pleading that she was a name lender would not be sufficient. If (Mrs. A) was running the family business and was in a dominant position, then, the purchase of a property from out of the joint family funds would be in the nature of a trust. It can be stated that she was holding the property for the benefit of all the members of the joint family. But such is not a case here. (Mrs. A) was a mere housewife. It was Shanmugavel Asari who purchased the property in the name of his wife from out of the joint family funds. The statute would presume that the purchase was for the benefit of (Mrs. A) and it was not a benami purchase. Of-course, the presumption is rebuttable. To rebut the statutory presumption, there must be firm foundation in pleadings as well as evidence. In the pleadings, there is no averment that (Mrs. A) held the property for the benefit of the joint family members. (Mrs. A) examined herself as D.W.3 and not even a suggestion has been put in this regard. This is a clear case of complete lack of pleadings and lack of proofs. The very purpose of enacting the Central Act 45 of 1988 is to prohibit the benami transactions. Of-course, the statute carved out certain exceptions. But then, every benami transaction cannot be allowed to be sustained by bringing it within the scope of the exceptions. A careful reading of the statutory scheme as applied to the factual matrix leads me to the conclusion that the purchase of the suit property was very much for the benefit of (Mrs. A) and therefore, the appellant did acquire valid title under Ex.A5. The fourth substantial question of law is answered in favour of the appellant. The impugned judgment and decree passed by the first Appellate Court is set aside. The decision of the Trial Court is restored. As per the undertaking given by the appellant, the appellant is directed to deposit a sum of Rs.1.00 lakh within a period of six weeks from the date of receipt of copy of this judgment to the credit of the suit on the file of the Principal District Munsif Court, Sivagangai. The said amount shall remain in court deposit for a period of one year. If the plaintiff Arunachalam decides to accept this judgment, it is open for him to withdraw the said amount.
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