With reference to the 'Prohibition of Benami Property Transaction Act, 1988 (PBPT Act)', consider the following statements:1.A property transaction is not treated as a benami transaction if the owner of the property is not aware of the transaction.2.Properties held benami are liable for confiscation by the Government.3.The Act provides for three authorities for investigations but does not provide for any appellate mechanism.Which of the statements given above is/are correct?

1. A

   1 only

   (a) 1 only. Ignorance of the real owner does not automatically wash a benami deal; statement 1 is false. Not the key.

2. B

   2 only

   (b) 2 only. Benami properties are liable to confiscation by the Government under the amended PBPT law. Statements 1 and 3 are wrong (there is an Appellate Tribunal). This is the official key.

3. C

   1 and 3 only

   (c) 1 and 3 only. Both of those statements fail. Not the key.

4. D

   2 and 3 only

   (d) 2 and 3 only. Confiscation is right, but the Act does provide an appellate mechanism, so 3 is false.

Summary. Official key is (b) 2 only. The Prohibition of Benami Property Transactions Act (the 1988 law as recast in 2016) treats property held in another’s name as attachable and confiscable. Lack of awareness does not by itself exempt a transaction. Authorities include an Initiating Officer, Approving Authority, Administrator and Adjudicating Authority, with an Appellate Tribunal — so statement 3 is false. Only confiscation stands.