The Indian Registration Act contains the law of registration of documents. This Act provides for the registration of various documents so as to prevent fraud and assurance of title and to ensure conservation of evidence.The Registration Act, 1908, says that all transactions that involve the sale of an immovable property for a value exceeding Rs. 100, should be registered. It means that all the transactions made, of immovable property have to be registered.All transactions whether gift of an immovable property, or lease for a period exceeding 12 months, are required to be registered.In certain cases, when any party to the transaction cannot come to the sub-registrar’s office, the sub-registrar may delegate the powersto any of its officers to accept the documents of the property for registration, at the residence of the said person. The term ‘immovable property’ includes buildings, land and any rights attached to these properties.The documents of the property that need to be registered, should be submitted to the Sub-Registrar’s office within whose jurisdiction the property is situated, which is the subject matter of transfer. For registration of the documents, the authorized signatories for the seller and the buyer have to be present along with two witnesses.Failure to register the purchasedproperty could put the buyer at a huge risk. The document whose registration is compulsory and is not registered, cannot be admitted as evidence in the court of law.Presently NRIs are facingIllegal transfers or mutation as a basic form of property disputes, and hence growth in Civil suits in India. Oneneeds to establish a clear title to stake ones ownership. One needs to change the title of the land or house in the name of present legal owner to avoid any kind of fraud. In case of any fraud, one needs clarity on the title of the suit property.In India, the transfer of property is not an automatic process but often time-consuming process under the law. In the absence of an updated title, it is assumed that the particular property is reckless. The lack of action causes various property issues which give rise to legal actions such as filing of civillitigation in India.There are different ways through which transfer of property can be made. Inheritance through Will or natural succession in the absence of Will is two basic ways for transfer of property. Inheritance by way of natural succession is of class I legal heirs under the succession laws in India.One can gift his property to an individual in his life time which is a lawful way of undertaking a handing over or, change of ownership in the name of any relative or friend or through a registered sale deed also one can transfer his property during his life time. NRI’s have no trusted representation in India that leads unnecessary annoyance for them.Inheritance could bring along with it the obstacles of illegal transfers, possession or even sale by trusted representatives, close relatives or third parties.Illegal transfers takes place, when forging or fabrication of documents like making of fake Will takes place. The defaulters take advantage of the absence of the others and provide fake ownership to get control. Impersonation is another common method used in which one party impersonates as a shareholder and produces himself in court for the same. They manage to get the claim that belongs to somebody else. Therefore, one need to be careful and proactive approach should be followed by all owners to avoid these fraudulent practices.The most popular way is the misuse of the Power Of Attorney documents. In number of cases, people end up giving general, non-restrictive POAs to their agents, friends or relatives and in a lot of situations, people misrepresent, and there is a betrayal by even family members or close relatives too, who give proof of utter distrust and get properties displaced in their names.False documentation and impersonation can be challenged in courts within the limitation period of 3 years. Such situations can summon both civil and criminal litigation.
Monnishaa Mahajan, Principal Attorney at Legal Help NRI. Monnishaa has an experience of more than 15 years in assisting and advising NRI's in resolving their disputes in India.