Power of Attorney (PoA) comes to play a major role when Non-Resident Indians (NRI) try to purchase a property/land in India. Registration of property in India is a part of subsection 17 of the Registration Act, 1908. Under this header, every property/land that’s sold or purchased in India should be legally registered in the presence of both buyer and seller with their correct signatures recorded and all the property registration documents submitted to the sub-registrar of the city.
The process remains the same when dealing with an NRI seller/buyer. Only if the person is not present in India at the time of registry, they can give this power of signature as a buyer/seller to any of the trusted family member or friend. Apart from NRIs, the power of attorney for land registration process in India can also be used by an individual who is bedridden or ill, an old-age person with health problems or any other solid reason that attaches to your unavailability to conduct the transactions personally.
What is Power of Attorney
Power of Attorney is like a special power given to a reliable, close person of the family to you (if you are an NRI) so that he/she can proceed with the property registration process on your behalf. It is a document through which you declare that this (name along with other valid identity proofs) person is authorized or holds the right to show up to the sub-registrar office during the property registration process and carry out other related specifications. This person will provide his/her Aadhar card, biometric impression, getting photograph and submitting other valid identity proof required for completing the property/land registration process in the country. (Give the link of the blog ‘Land Registration process in India’).
The person who gets this right needs to submit a ‘power of attorney’ document which states that he/she takes full charge of registering the property on behalf of you (the NRI) by submitting his/her own valid proof of identity along with Aadhar card and other address proof.
The person who makes the Power of Attorney is known as Principal and the person to whom the power is granted is known as Attorney.
For a person to receive a power of attorney for property registration in India, he/she should be a citizen of India, currently lives in India and has all the valid proof of identity including the unique Aadhar number, his address proof and alike.
Rules of granting Power of Attorney in India?
The real owner of the property- i.e., the NRI, in this case, must give the power of attorney to only a person who has a local address of the city/state in which the property is situated. In some states, the Power of Attorney for sale/purchase of a property is only restricted to blood relatives. Perhaps, giving power of attorney to your sister may be allowed.
The Principal has the right to terminate the power of attorney of an individual after the mutual consent and valid document of proof where both the Principal and Attorney need to sign. The date of termination of Power of Attorney is limited by time, otherwise.
Since power of attorney is a general power granted, all the acts and areas of granting the power should be mentioned clearly. Like in property registration, it should be mentioned if the power of attorney is not allowed for a specific task. For instance, the Principal can grant the power to buy or rent the property to the attorney but may not grant the power to sell the property.
The procedure of granting Power of Attorney by NRIs
1. Draft the power of attorney for NRI, take a print out on plain paper.
2. Visit the Indian Embassy in that country where the NRI is staying, get this draft sealed and stamped from the embassy. Alternatively, the person can get it notarized by a Public Notary in that country and mention the notary registration number on the seal on each page of the document.
3. Send the attested deed by registered post to India in the name of your friend or relative.
4. The relative/friend in India must get it registered in India from a sub-registrar, paying the registration fees applicable state wise.
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