Former PSP officer to head key body tasked with identifying and confiscating assets held through proxy ownership under Benami law
The federal government has appointed retired BS-22 Police Service of Pakistan officer B.A. Nasir as Chairperson of the Benami Adjudicating Authority, according to a notification issued by the Federal Board of Revenue (FBR).
The appointment takes immediate effect and will remain valid for a period of three years or until the appointee reaches the age of 62, whichever comes earlier.
The Benami Adjudicating Authority operates under the provisions of the Benami Transactions (Prohibition) Act, 2016, and is responsible for adjudicating cases involving properties suspected of being held through proxy or undisclosed ownership arrangements.
Role in anti-tax evasion enforcement
The authority plays a central role in determining whether assets identified by enforcement agencies qualify as benami property and whether such assets are liable to confiscation under the law.
The appointment comes as the government continues efforts to curb tax evasion, undocumented wealth and concealment of assets through proxy ownership structures.
What are benami transactions?
A benami transaction refers to an arrangement in which a property is held in the name of one person, while the consideration for acquiring it is provided by another person who ultimately enjoys the benefits of ownership.
The term “benami,” derived from Persian and Urdu, literally means “without a name.” In legal and taxation contexts, it refers to assets that are legally registered under one name but beneficially owned or controlled by another individual.
Under the Benami Transactions (Prohibition) Act, 2016, a transaction may be classified as benami if a property is held by one person while another provides the purchase consideration, or if the asset is acquired in a fictitious name, or if the recorded owner denies knowledge of ownership.
Use of benami structures
Tax experts say benami arrangements are often used to conceal undeclared wealth in real estate, bank accounts, securities and other financial assets.
Such structures make it difficult for authorities to trace the true beneficial owner, particularly in economies where tax compliance remains weak.
The law empowers authorities to identify and confiscate benami properties, along with any income generated from them, to deter tax evasion and illicit wealth accumulation.
Legal conditions and exemptions
To establish a benami transaction, authorities must prove that the consideration was paid by someone other than the recorded owner and that the real benefits of ownership belong to the same person who provided the funds.
Legal experts note that determining beneficial ownership often requires detailed examination of circumstantial evidence.
Certain arrangements are exempt from the law, including assets held in fiduciary capacity, properties purchased from declared income in the name of close family members, and jointly owned assets acquired through legitimate documented sources.
The appointment of B.A. Nasir is expected to strengthen adjudication capacity and support broader government efforts to improve tax compliance, enhance transparency and tackle undisclosed wealth in Pakistan’s economy.
