Prohibition of Benami Property Transactions Act, 1988
Section 22: Power of Authority to Impound Documents
Section 22 of the Prohibition of Benami Property Transactions Act, 1988 empowers an authority acting under the Act to impound and retain books of account or other documents when the statutory conditions are satisfied. The provision also regulates how long documents may be retained, when approval is required, the right to obtain copies and when the documents must be returned.
What does Section 22 provide?
The section applies where books of account or other documents are produced before an authority in proceedings under the PBPT Act. If the authority has reason to believe that the material is required to be impounded and retained for an inquiry under the Act, the authority may retain it subject to the conditions set out in Section 22.
Text and meaning of Section 22
Section 22(1) - Initial impounding and retention. Where books of account or other documents are produced before the authority in proceedings under the Act and the authority has reason to believe that they are required to be impounded and retained for an inquiry, the authority may impound and retain them for a period not exceeding three months from the date of the order of attachment made by the Adjudicating Authority under Section 26(3). The proviso permits extension beyond that period where the authority records the reasons for extension in writing.
Section 22(2) - Approval where the Initiating Officer impounds documents. If the Initiating Officer is the authority that impounds and retains the documents, approval of the Approving Authority must be obtained within fifteen days from the date of initial impounding. If further retention is required, further approval must be sought before the initial retention period expires.
Section 22(3) - Outer limit after proceedings conclude. Retention shall in no case continue beyond thirty days from the date on which all proceedings under the Act conclude.
Section 22(4) - Right to copies. The person from whom the books of account or documents were impounded is entitled to obtain copies of them.
Section 22(5) - Return of documents. On expiry of the applicable retention period, the books of account or documents must be returned to the person from whom they were impounded, unless the Approving Authority or the Adjudicating Authority permits their release to another person.
Key legal requirements under Section 22
- Documents must be relevant to proceedings: The power concerns books of account or other documents produced before an authority in proceedings under the PBPT Act.
- Reason to believe is required: The authority must form the statutory belief that impounding and retention are required for an inquiry under the Act.
- Retention is time-bound: Section 22 fixes an initial statutory period linked to the attachment order under Section 26(3), subject to the proviso and other limits in the section.
- Written reasons support extension: Where the retention is extended in terms of the proviso to Section 22(1), the authority must record reasons in writing.
- Approving Authority oversight: When the Initiating Officer impounds documents, approval must be obtained within fifteen days, and further approval is required for continued retention when necessary.
- Copies may be obtained: The person from whom the documents are impounded has a statutory right to obtain copies.
- Documents must ultimately be returned: The section provides for return after expiry of the permitted period, subject to an order allowing release to another person.
Important time limits
| Requirement | Time limit or condition | Section |
|---|---|---|
| Initial retention | Up to three months from the date of the attachment order under Section 26(3), subject to the proviso | 22(1) |
| Approval when Initiating Officer impounds | Within fifteen days from the date of initial impounding | 22(2) |
| Further approval for continued retention | Before expiry of the initial retention period, if further retention is required | 22(2) |
| Final outer limit after proceedings | No later than thirty days from conclusion of all proceedings under the Act | 22(3) |
Relationship with Sections 21, 23 and 26
Section 21 deals with the power to call for information. Section 22 deals specifically with impounding and retaining books of account and documents produced before an authority. Section 23 concerns the Initiating Officer's power to conduct or cause an inquiry or investigation, subject to the approval specified in that section. The retention period in Section 22(1) is expressly connected with the attachment order made by the Adjudicating Authority under Section 26(3).
Who are the relevant authorities?
The PBPT Act provides for statutory authorities including the Initiating Officer, Approving Authority, Administrator and Adjudicating Authority. Section 22 specifically refers to an authority impounding documents, the Initiating Officer, the Approving Authority and the Adjudicating Authority. The exact authority and jurisdiction in a matter depend on the Act, applicable notifications and the facts of the proceedings.
Practical effect of the provision
Section 22 balances the need of the authorities to preserve documentary material for a benami inquiry with procedural controls over continued retention. A person affected by an impounding order should therefore check the date of impounding, the date of any attachment order under Section 26(3), whether the required approval was obtained where the Initiating Officer acted, whether written reasons exist for any extension and whether the statutory right to copies has been made available.
Official legal resources
For verification of the bare Act and amendments, refer to the official Government sources linked in the right sidebar, including India Code and the Income Tax Department's Benami law resources.
Last reviewed: 14 September 2026.