LexThe Meghalaya (Benami Transactions Prohibition) Act,1980 (Act No.24 of 1980)
Meghalaya · state statute
Open in Lexace · Ask the AI about this actMEGHALAYA ACT 24 OF 1980
THE MEGHALAYA (BENAMI TRANSACTIONS PROHIBITION) ACT, 1980.
(As passed by the Assembly)
[Received the assent of the President on the 13th October, 1980]
(Published in the Gazette of Meghalaya, Extra-ordinary, dated the 31st October, 1980)
An
Act
to prohibit benami transactions between a tribal and non-tribal.
Be it enacted by the Legislature of the State of Meghalaya in the Thirty -first Year of the
Republic of India as follows:-
Short title,
extent and
commencement.
1. (1) This Act may be called the Meghalaya (Benami Transaction
Prohibition) Act, 1980.
(2) It extends to the whole of Meghalaya.
(3) It shall come into force at once.
Definitions. 2. In this Act, unless the context otherwise requires-
(a) “benami transaction” or “transaction in benami” means the
acquiring or holding of any property (movable or immovable or
the carrying of any business, trade or any transaction by a non-
tribal in the name 1 [………….]
of a tribal;
(b) “non-tribal” means a person who is not a tribal;
(c) “State” means the State of Meghalaya;
(d) “tribal” means a person belonging to any of the Scheduled Tribes
pertaining Meghalaya and as specified in the Constitution
(Scheduled Tribes) Order, 1950 as amended from time to time 2 [.]
3
[......................................]
(e) 4[“Benamidar” means a person or a fictitious person, as the case
may be, in whose name the benami properly is transferred or held
and includes a person who lends his name
.]
(f) “Beneficial owner”, means a person, whether his identity is known
or not, for whose benefit the benami property is held by the
benamidar”.
Benami Transaction
unlawful. 3. On and from the commencement of this Act and notwithstanding
1 Omitted by Amendment Act No. 4 of 2016 Sec 2 Earlier the words read as “or on behalf”
2 Inserted by Amendment Act No.4 of 2016 Sec.2.
3 Omitted by Amendment Act No. 4 of 2016 Sec 2. Earlier the words read as ”and for the purpose of this Act shall also include the
Rabhas, Kacharis and Koch resident in Meghalaya”
4 Inserted by Amendment Act No.13 of 2018 Sec.2
anything to the contrary contained in any law in force or in any custom
or usage benami transaction, in any from between a tribal an a non-
tribal is prohibited and shall be unlawful and void and every person
involved in any such transaction shall be deemed to have committed an
offence under this act;
Provided that no transaction in the name of a tribal shall be
deemed to be benami where such transaction is in favour of or for and
on behalf of any tribal organisation association or institution:
Provided further that no transaction shall be deemed to be benami
where such transaction is between the members of the same family.
Explanation.- For the purpose of this section-
(i) “tribal organisation, association or institution” means any
organization association or institution as may be recognised and
notified by the State Government as a tribal organisation,
association or institution for the purposes of this Act.
(ii) 1[“members of the same family” means either one of the spouses
is a tribal and includes the children either of whose parent is or
was a tribal
.]
Power to enter and
search.
2 1) [4]. 3[“The State Government may by notification in the Official
Gazette constitute a committee or an authority in each district for
receiving and causing verification of a complaint or information of
a transaction in benami in the State, as may be prescribed by
Rules”
.]
2)
On receiving a complaint or information under sub- section (1), the
committee or the authority so constituted shall cause verification of
such complaint or information and after such verification and if
prima facie objectively satisfied and after giving opportunity of
being heard to the person against whom a complaint or information
of transaction in benami is received, the committee or the authority
may refer the matter to the Superintendent of Police for further
investigation.
3) The committee or the authority constituted under sub- section (1)
may detect and identify any transaction in benami and if the
committee or authority finds any such transaction to be benami
after following due process of verification as provided for in sub-
section (2) above, it may refer the same to the Superintendent of
1 Subs by Amendment Act No.4 of 2016, Sec 3. Earlier the words read as “membe rs of the same family” includes the children either of
whose parents is or was a non-tribal.
2 Subs by Amendment act No.4 of 2016, Sec. Earlier the section read as (a) On a complaint or information in writing made to a Magistrate
of the First Class or Superintendent of Police by such person, Committee or authority as the State Government may notify in this behalf that
a transaction is in benami, such Magistrate or Superintendent of Police shall or (b) If a Magistrate of the First Class or a Superintendent of
Police upon credible information and after such enquiry as he may consider necessary has reason to believe that a transaction is in benami,
such Magistrate or Superintendent of Police may, Either by himself or by his warrant authorizes an Officer of Police not below the rank of a
Sub-Inspector of Police to enter and search at all reasonable hours, any premises which he has reason to believe any register, books of
account or any other documents relating to or having any bearing or such tr ansaction are kept therein and such police officer may direct
any person whom he has reason to believe to be in custody of such register, books of account or any other documents relating the
transaction to produce them for his inspection or he may seize su ch register, books of account or other documents found therein or so
produced for his inspection, as the case may be.
3Subs by Amendment act N.13 of 2018, Sec. 2. Earlier the words read as “The State Government may, by notification in the Official Gazette,
constitute a committee or an authority for receiving and causing verification of a complaint or information of a transaction in benami in the
State”.
Police for further investigation
.
1 Inserted by Amendment Act No.3 of 1986 Sec.2.
2 Omitted by Amendment Act No.4 of 2016 Sec. 5 Earlier the word read as “person”.
3 Substituted by Amendment Act No. 4 of 2016 Sec. 5 Earlier the word read as “4(a)”
4 Substituted by Amendment Act No. 4 of 2016 Sec. 5 Earlier the word read as “4(a)”
5 Omitted by Amendment Act No.4 of 2016 Sec. 5 Earlier the word read as “person”.
4)
The committee or t he authority constituted under sub -section
above shall have the power to require the presence of an officer
of the State Government or local authority or any person who
is responsible for maintaining books of account or other
documents containing a record of any transaction relating to
any property transacted in benami or any other matter relevant
for the purposes of this Act.
5)
On receipt of a reference from the committee or the authority,
the Superintendent of Police by himself or by any officer of
Police not below the rank of Sub- Inspector duly authorized by
him may enter and search at all reasonable hours, any premises
where he has reason to believe that any register of account or
other documents relating to or having any bearing on such
transaction ar e kept in electronic form or otherwise and such
police officer may direct any person whom he has reason to
believe to be in custody of such register, books of account or
other documents relating with the transaction to produce them
for his inspection and if required may seize such register, books
of account or other documents or records or electronic
systems”.
14A (1) Notwithstanding anything contained in the Registration
Act,1908 or in any other law in force, no Registering Officer
appointed under the said Act or law shall register any document or
instrument relating to benami transaction or transaction in benami
Provided that the Registering Offic er may, f or the purpose of
this sub- section seek the opinion or recommendation of the
:
2*
authority notified under Section 34(a) of this Act
(2) Any Registering Officer refusing to register a document on
instrument under the preceding sub-section (1), shall make an order
of refusal in writing recording reasons thereof in Book No. 2
maintained by him under the Registration Act, 1908 and, shall also
endorse the same on the document and instrument and the position
shall be reported by him , giving particulars of the transaction
thereof, to the committee or authority notified under Section
.
4*4(a)
of this Act, and, on application made by any 5*, executing or
claiming under the document or instrument, shall, without payment
and unnecessary delay, give him a copy of the reasons so recorded.
(3) No Registering Officer shall accept for registration a deed,
document or instrument so endorsed unless and until, under the
provisions hereinafter contained, the document is directed to be
registered.
1 Subs. By Amendment Act No. 4 of 2016, Sec. 6. Earlier the words read as “An Offence under this Act shall be cognizable and bailable”
2 Inserted by Amendment Act No.4 of 2016 Sec 7.
(4) Where a document or instrument is refused registration under this
Section, any person claiming under such document or instrument or his
representative, assign or agent, may, within 30 days after the making of
the order of refusal or within such fur ther period as may be allowed by
court for sufficient cause, institute in the Civil Court, within the local
limits of whose original jurisdiction is situate the office in which the
document or instrument is sought to be registered, a suit for a decree
directing the document or instrument to be registered in such office if it
be duly presented for registration within 30 days after the passing of such
decree.
(5) If the document or instrument is duly presented for registration
within 30 days after the pas sing of such decree, the Registering Officer
shall obey the same and make necessary registration and such
registration shall take effect as if the document or instrument has been
registered when it was first duly prescribed for registration.
(6) For pu rpose of jurisdiction by court and for court fee a suit under
this section shall be deemed as it is a suit under Section 77 of the
Registration Act, 1908.
(7) Notwithstanding anything contained in the Central Evidence Act,
1872 or in any other law in f orce Act 1 of the onus of proving that the
transaction is not in benami shall lie upon the person who assert it.
Searches how to be
made.
5. All searches under this Act shall be conducted, as far as may be, in
accordance with the provisions of the Code of Criminal Procedure, 1973.
“Offences to be
bailable or non-
bailable.
16.Offence under section 3 shall be cognizable and bailable but whoever
willfully refuses or fails to comply with any direction or lawful order
made under section 4 such offence shall be non bailable
“Offences by
Companies and
Partnership Firms.
.”
26A (1) Where any offence punishable under this Act has been
committed by a Company or Partnership firm, every person who at the
time of the offence is committed, is in charge of, and is responsible to the
Company for the conduct of the business of the Company, or Partnership
or Partnership firm shall be deemed to have committed an offence under
this Act:
Provided that nothing contained in this sub- section shall render any
such per
son liable to any punishment, if he proves that the offence was
committed without his knowledge or that he had exercised all due
diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub- section (1), in relation
to any offence committed under this Act by a Company or Partnership
firm, it is proved that the offence has been committed with the consent or
connivance of or is attributable to any negligence on the part of any
Director, Manager, Secretary or any other officer or Partner individually
or collectively shall also be deemed to have committed an offence under
this Act.
1Substitute by Amendment Act No. 4 of 2016, Sec. 6. Earlier the words read as – “Whoever commits an offence under Section 3 or willfully
refuses on fails to comply with and direction or lawful order made under Section 4, shall on conviction by a Magistrate be pu nishable with
imprisonment for a term not exceeding six months or with fine not exceeding two thousand rupees or with both:
Provided that the minimum punishment for the second offence under Section 3, shall be with imprisonment for a term of not les s
than one month and also with fine of not less than five hundred rupees.”
THE UNDERLINED TEXT INDICATES THE INSERTION/SUBSTITUTION OF THE SUBSEQUENT
AMENDMENTS TO THE MEGHALAYA (BENAMI TRANSACTIONS PROHIBITION) ACT, 1980
(ACT NO. 24 OF 1980), AMENDED AND UPDATED UPTO THE YEAR – ACT 4 OF 2016.
Explanation:
For the purposes of this Section:-
(a) “Company” means a body corporate and includes a firm or an
association of individuals;
(b) “Director” in relation to a company also includes Managing Director;
and
(c) “Partner” in relation to a Partnership firm includes managing partner.”
“Penalty. 17. Whoever commits an offence under Section 3 and 6A or willfully refuses
or fails to comply with any direction or lawful order made under sub- section
(3) of section 4 shall , on conviction by a court of Judicial Magistrate First
Class, be punishable with imprisonment for a term not exceeding six months
or with fine not exceeding twenty thousand rupees or with both:
Provided that the minimum punishment for the second and subsequent
offence under section 3 shall be with imprisonment for a term not less than
three months and also with fine of not less than ten thousand rupees or both.”