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Benami Transaction In India 1. Prohibition of benami transaction. The Benami Transaction (Prohibition) Act, 1998 speaks loud and clear ''no person shall enter into any benami transaction."                              Nothing in the section 3(1) shall to the purchase of property by any person in the name of wife unmarried daughter and it shall be presumed , unless the contrary is proved, that the said property had been purchased for the benefit of the wife or the unmarried daughter. Whoever enters into any benami transaction shall be punishable with imprisonment for a term which may extend to three years or fine or both and it is an offence which shall be non-cognizable and bailable. Though the question  whether a particular sale is benami of not, is largely one of the fact, and determining this question, no absolute formulae or acid test, uniformly applicable in all situations, the ...