Bank consent is necessary to create third party rights during subsistence of loan 

2) has the GPA been registered?

3) has gift deed been registered? Kindly clarify 

Dear Sir,

Your are in safer zone. Possession is 9 points in law. Never part with the possession.  Legally speaking the gift deed executed by GPA holder to herself is invalid.  Such legal contentions may be taken later and if any mortgage is made by the daughter/donnee then you can challenge the same.  File a suit for cancellation of gift deed but it is also not necessary if you are strong to retain the possession.  Lodge police complaint or private complaint mother and daughter for cheating you by executing GPA and gift deed.

a. See if the gift deed was made fraudulently by making false GPA and property was under mortgage then you can file a suit for cancellation of gift deed under specific Relief act and it wont stand, 

Does the gift deed have any stand in the court of law though the property was mortagaged?

A power of attorney is an authority given by one person to another, authorising him / her  to act on his/Her behalf.
According to the Power of Attorney Act 1882, power of attorney 'includes any instrument empowering a specified person to act for and in the name of the person executing it'. Where authority is given to do a particular act, followed by general words, the general words are restricted to do what is necessary for the proper performance of the particular acts. In such a situation the creation of gift deed is not legally sustainable in the eye of law, where the in gift deed executed infavour of power of attorney holder by himself. More over the mother execute a registered sale deed on the same day infavour of you. Please note that, when the property is mortgaged and executed the deed of mortgage with bank then subsequent  creation any document with regard to property without the consent of bank is illegal .In such a case the creation of gift deed is illegal if there is any mortgage with bank

In your query, you settle the debt of property owner.and done the registration after paying the same .

1) Which ever deed registered with local are registrar will be applicable that deed.

If gift deed is not registered before your sale deed than its not a use of it.

See confirmation was signed after the registration in your name when mother has no right over the land and same was transferred to you. further file a cheating case on mother and daughter they both has conspired together and sold you land and made the gift deed. you can make suit for declaration of your status and cancellation of the gift.

You don’t have clear and marketable title to property 

2) since gift deed was executed prior to sale deed mother could not have sold property to you 

3) seek refund of money paid by you with interest from seller 

Dear Sir,

You are in 100% safer zone because the transaction itself falsified by way of confirmation deed.  To avoid criminal prosecution mother and daughter colluded with each other and creating documents to deny your title to the said property.  How mother can execute confirmation deed when she has taken consideration from you and executed valid registered sale deed.  It is a second offence committed by mother by executing confirmation deed.  You can file suit for declaration and permanent injunction. Since 2011 the Supreme Court disallowed any transfer of property through GPA as such gift deed is ab initio illegal.

the gift deed was registered and the mother also executed confirmation deed in favour of the daughter

so technically the daughter becomes owner of the property 

but as the property was mortgaged with bank, its NOC was required prior to registration of gift deed in favour of daughter

i assume no such bank NOC was obtained by mother before she transferred the property to her daughter under the registered gift deed

but since the bank loan is fully repaid, the bank is out of the scene now as it is no more interested in this property as its loan is fully repaid

you need to check local state law on the point whether the GPA was compulsorily required to be registered and if yes, then how did the registrar, register the gift deed on basis of an unregistered GPA

In many states including my state ie Maharashtra, any GPA which contains a power to sell has to be compulsorily registered before it is put to use by the grantee

in your case as you have cleared the bank loan which was the liability of the mother, you become a 'bonafide purchaser for value'

you are also a purchaser 'without notice' as the EC records did not reflect the gift deed to daughter

so you are a bonafide purchaser for value without notice 

as the mother has executed confirmation deed to the gift deed subsequent to the registration of sale deed in your favour, this means that she is denying your right

hence you will have to file a declaratory suit in court against the mother, daughter, registrar and bank 

Dear Client,

In no case donor and donnee can be same person but when mother has confirmed the gift deed than sale with you is illegal and without ownership. File criminal complain agasint mother. Registered Gift deed executed before your purchase and hence, mother had already transferred the ownership. She had no title.

1) Now you have to make tripartite agreement and the original sale deed needs to re register as rectification deed.

2) For rectification deed you have arrange one meeting with same sub registrar where you have registered sale deed.

3) Means you will not have any problem in future.

1. IT is a criminal offence to Sell /Gift /Transfer any property that is mortgaged, since it would amount to cheating, fraud. A Bank NOC is required if at all the mortgaged property is to be Gifted or Sold or whatever.

2. In the instant matter, the whole deal is illegal & challengable in court, PROVIDED the Bank takes objection. Here since the Bank Loan is cleared by the new purchaser, the whole issue has now become defunct and now no action is possible by Bank.

Keep Smiling .... Hemant Agarwal

1. The said gift deed will be considered as illegal since at thatbtime the said property was under mortgage and no mortgaged property can not be dealt with without the written consent of the Mortgagee.

2. If you have taken written consent from the Bank before buying the said mortgaged property, your purchase will be considered as legally valid.

1. Have you taken any written consent from the Bank before the sale deed was registered in your favour for buying the saidproperty after paying the dues of the seller to the Bank?

2. If yes, then the sale deed registered in your favour is valid and you should file the declaratory suit praying for a declaration that the said gift deed registered in favour of the daughter of the seller is invalid and you are the title holder of the saidproperty.

Even though the property was on mortgage loan, the owner sold the property to you after which you cleared the loan.

Similarly the gift deed also enjoys the same status.

However it is to be seen that if the GPA deed was by a registered deed and the subsequent gift deed was also by a registered document, if yes, then the gift deeed is also considered as valid.

If the GPA deed was done fruadulently then the principal should prove it.

In fact the mother sold the property the very next day of the gift deed, it means she was aware of the gift deed.

Further whether the GPA authorised the power agent to execute gift deed is also to be seen, if not then the gift deed shall be invalid.

Did you not get a proper legal opinion before purchasing  and also did you not verify the EC on the property while buying it?

Unregistered GPA deed isnot valid as far as the transaction with regard to immovable property hence the subsequent gift deed is also not valid.

You can file a declaration deed to declare your title based on the documentary evidences in your support.

Dont file any suit for cancellation of gift deed because you are not a party to it.

You may discuss with your advocate on further issues before initiating any steps in furtherance

Dear Sir,

The gift transaction is entirely illegal. I will show you a way how to file different types of complaints against the mother and her daughter. They wish to enrish at your cost. Take everything lightly. Nothing will happen to you. Be at ease.

File an FIR and apply for cancellation of the GPA and registration in her name by filing suit in civil court