FPA/PBPT/48/CHN/2018 of G Dhivya v/s Sh. K. Visakh Dy Commissioner of Income Tax, Chennai
Case brief
What is this about?
A bench of one Judge disposed of 28 appeals filed by employees of colleges run by trusts. The employees had received salary advances in cash during a search action related to income tax authorities and returned the entire amount within 10 days. The Adjudicating Authority attached their bank accounts based on allegations of benami transactions. The Tribunal held that the definition of benami under the Benami Act differs from the PMLA and requires the property to be held for the benefit of the person providing consideration. Since the appellants returned the money and the employer was traceable, no benami transaction was established. The provisional attachment orders were quashed, and accounts were released.
What did the court decide?
The impugned orders are set aside, the attached properties are released forthwith, and the appeals and pending applications are disposed of. No costs.