2011 SCMR 1550(Benami) Motive---Scope---Parties were husband and wife and after their separation, dispute between them arose with regard to title over suit properties---Each party claimed itself to be the real owner of the suit properties---Trial Court and Lower Appellate Court concurrently held wife as mere Benami dar and decreed the suits in favour of husband declaring him the real owner---High Court in exercise of revisional jurisdiction set aside concurrent judgments and decrees passed by two courts below and declared wife as the real owner---Validity---Motive in Benami transactions was the most important one and a transaction could not be dubbed as Benami simply because one person happened to make payment for or on behalf of the other---There were innumerable transactions where a father had purchased property with his own sources for his minor son or daughter keeping in mind that the property would vest in the minor---Such transaction, subsequently could not be challenged by father as Benami simply because amount was paid by him---There were people who, with positive application of mind purchased properties in the name of others with intention that title should vest in that other---If such principle was denied and that of Benami attracted simply because sources of consideration could not be proved in favour of named vendee, it would shatter the most honest and bona fide transactions thereby bringing no end to litigation---At one time husband came out with reason that name of his wife was entered merely to please her, there came principle of bona fides, goodwill and sanctities attached to a transaction---Once having done so, when husband and wife were amicably living, no one could turn around subsequently to claim exclusive title when relations had become strained and spouses fell apart---Even if the amount had been paid by husband, yet he could not have turned around to claim that wife was a Benami beneficiary---Supreme Court declined to interfere in the judgment and decree passed by High Court
Posted on: Tue, 16 Jul 2013 10:46:04 +0000