Sections 25 and 63 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
A notice under section 24 starts the process, so how it reaches you matters. Section 25 says how it may be served and on whom, depending on whether the person is an individual, a firm, a Hindu undivided family, a company or something else. Section 63 says a mistake, defect or omission in a notice or other document does not by itself make it invalid.
As per the consolidated text consulted, a notice under section 24(1) may be served by post or as if it were a summons issued by a Court under the Code of Civil Procedure, 1908 (section 25(1)), and may be addressed to a named class of person for each kind of noticee (section 25(2)). Under section 63, no notice, summons, order, document or other proceeding is invalid merely by reason of any mistake, defect or omission if it is in substance and effect in conformity with the intent and purpose of the Act.
How these sections came in
Section 25 is in Chapter IV (Attachment, Adjudication and Confiscation), whose heading is printed in the gazette but not in the consolidated copy. Section 63 is in Chapter VIII (Miscellaneous). Both were inserted by the Benami Transactions (Prohibition) Amendment Act, 2016; the text is checked against the Gazette of India copy of that Act (assent 10 August 2016). The 2016 changes were brought into force by notification; the date is not in the sources consulted. The notice itself is explained in our article on section 24.
If a notice has reached you at an address, or in a name, that does not look right, a legal dispute resolution review will tell you what the Act allows and what it protects.
Section 25(1): the two modes of service
"A notice under sub-section (1) of section 24 may be served on the person named therein either by post or as if it were a summons issued by a Court under the Code of Civil Procedure, 1908."
The section covers one kind of notice only: the notice under section 24(1). It gives two modes:
- By post. The sub-section does not say what kind of post. This article adds no requirement beyond the words "by post".
- As if it were a summons issued by a Court under the Code of Civil Procedure, 1908. The notice is served in the manner of a court summons. The rules of that Code are not set out in the Act; check the current procedural law for the corresponding provisions before relying on any particular step.
Section 25(2): to whom the notice may be addressed
"Any notice referred to in sub-section (1) may be addressed" as set out below.
| Kind of person | Notice may be addressed to |
|---|---|
| (i) An individual | Such individual |
| (ii) A firm | The managing partner or the manager of the firm |
| (iii) A Hindu undivided family | The Karta or any member of the family |
| (iv) A company | The principal officer of the company |
| (v) Any other association or body of individuals | The principal officer or any member |
| (vi) Any other person (not being an individual) | The person who manages or controls his affairs |
The word is "may": the sub-section lists persons to whom the notice may be addressed. It does not say that a notice addressed to anyone else is bad. That question is for section 63, below.
Note how closely this tracks the definition of "person" in section 2(24), which covers an individual, a Hindu undivided family, a company, a firm, an association of persons or a body of individuals and every artificial juridical person. Clause (vi) catches the persons the earlier clauses do not name. For the definition, see our article on the other definitions in section 2.
Section 63: defects do not invalidate
"No notice, summons, order, document or other proceeding, furnished or made or issued or taken or purported to have been furnished or made or issued or taken in pursuance of any of the provisions of this Act shall be invalid, or shall be deemed to be invalid merely by reason of any mistake, defect or omission in the notice, summons, order, document or other proceeding if the notice, summons, order, document or other proceeding is in substance and effect in conformity with or according to the intent and purpose of this Act."
The section is wider than section 25. It covers not only notices but also summons, orders, documents and other proceedings, and it covers a document "purported to have been" issued, not only one properly issued. The protection depends on a condition: the document must be "in substance and effect in conformity with or according to the intent and purpose of this Act".
Three points follow from the words.
- "Merely". A mistake, defect or omission is not on its own enough to make the document invalid.
- "Substance and effect". The test looks at what the document does, not at its form.
- "Intent and purpose of this Act". A document that departs from the Act's purpose does not get the benefit.
The section does not list the kinds of defect that are cured, and this article does not guess at them. Whether a particular defect leaves a document "in substance and effect in conformity" with the Act is a question on the facts. Our article on sections 64 to 66 covers the neighbouring protection for good-faith action.
Putting sections 25 and 63 together
| Question | Section | Answer |
|---|---|---|
| How can a section 24(1) notice be served? | 25(1) | By post, or as if it were a summons issued by a Court under the Code of Civil Procedure, 1908 |
| To whom may it be addressed? | 25(2) | The named person in each class (individual, managing partner or manager, Karta or any member, principal officer, and so on) |
| What if there is a slip in the notice or its service? | 63 | Not invalid merely by reason of a mistake, defect or omission, if in substance and effect it conforms to the Act's intent and purpose |
Who is affected
- Individuals, firms, families and companies, who should check whether a notice has reached the right office-bearer.
- Advisers, who need to read the address, the mode of service and the content against sections 25 and 63 before deciding whether to raise a point on the notice.
- Lenders and buyers, who should ask the seller whether any notice has been received, since section 57 gives a notice under section 24 consequences for later transfers.
Practical example
A notice under section 24(1) is posted to a private company at its registered address, addressed to its principal officer, Mr Vivek Anand. Section 25(2)(iv) says a notice to a company may be addressed to its principal officer, and section 25(1) allows service by post. The company's accountant spots that the notice spells the company's name with a small error. Under section 63, the notice is not invalid merely by reason of that mistake, if in substance and effect it conforms to the Act's intent and purpose. The company should reply on the merits of the notice and keep any point about the mistake in reserve, with advice.
Other laws and later amendments
Section 25 names the Code of Civil Procedure, 1908 as printed. Check the current procedural law for the corresponding provisions. Later amendments to the Act are not in the sources consulted; check them.
Need help with the service or validity of a notice?
If you doubt whether a notice was addressed or served properly, or you want to know whether a defect in an order can be raised, our legal dispute resolution team can read the notice and the Act together with you.
Key takeaways
- A section 24(1) notice may be served by post or as if it were a court summons under the Code of Civil Procedure, 1908.
- The notice may be addressed to the individual, the managing partner or manager, the Karta or any member, the principal officer, or the person managing or controlling affairs.
- Section 63 saves a notice, summons, order or other proceeding from invalidity merely by reason of a mistake, defect or omission.
- The saving applies only where the document is in substance and effect in conformity with the intent and purpose of the Act.
- Reply to a notice on its merits; do not rely only on a defect.
Read next
- Section 24: show-cause notice and provisional attachment
- Section 26: adjudication of benami property
- Sections 64 to 66: good-faith protection, pending cases and legal representatives
- Overview of the Benami Transactions Prohibition Act
Disclaimer: Based on a third-party consolidated text of the Prohibition of Benami Property Transactions Act, 1988 as amended by the Benami Transactions (Prohibition) Amendment Act, 2016, checked against the Gazette of India copy of that amending Act (11 August 2016), as consulted on 2 October 2026. The commencement notification, the rules and later amendments should be checked. This article is general information, not legal advice; check the official text before acting.