Is the Benami Bill targeted at corruption and black money futile?

Did you know that a law exists, and has existed for 24 years, which declares benami transactions illegal? Benami transactions((benami literally means 'without a name'), where property is paid for by person A, but held in the name of person B (who may not even exist) have long been part of the way business is done, or commerce is conducted, in India.

And in the long list of often futile attempts targeted at corruption and the holding of black money, the crackdown, such as it is, on benami transactions must rank at the bottom of the heap in terms of effectiveness. A cynic might say that's hardly surprising, if you assume that some of the biggest benami holdings in the country belong to corrupt politicians and bureaucrats. When it comes to an effective benami law, the fox, so to speak, is in charge of the henhouse.

Nevertheless, earlier this week, a parliamentary committee suggested changes in a bill introduced by the government last year to completely overhaul the existing benami law. The final report is not yet public though it is believed that the committee has proposed changes to certain definitions, to tighten the law.