Hi,

The objections raised by bank are not valid because a person can give POA to anyone and POA holder need not be his or her blood relative.

1. The objection of bank has no legal basis at all. The Wife can indeed give power to his in laws and it is very much valid.

2. The POA given gratuitously to family member made through marriage is very much valid and there is no defect arises out of it.

3. So go ahead with the POA on which basis the sale deed can be done by the attorney representing the owners in the sale deed.

BANK is "absolutely"  wrong in their illegal demands.  consider the following:

1. ONLY a proper Stamp Duty paid (500/-) and Registered POA holder is entitled to execute any immovable property transaction before the local registrar of sub-assurances. IF the POA is not registered, THEN the whole proceedings shall remain illegal. POA can be given to ANYBODY, irrespective of relationships.

2. POA may have strategic clauses and time limitations of the deal (payment terms, validity time period of the POA document ....), for safety of the POA giver.

3. POA can be registered anywhere in India, before the local registrar of sub-assurances and shall be valid throughout India. Stamp Duty on POA is not the same as Stamp Duty paid on Sale /Purchase Deed.

4. POA document can be endorsed abroad by the local consulate office and SUBSEQUENTLY stamp duty paid and registered in India, for it to be legally enforceable.

bank is partly correct

the wife who is a co-owner has authorised her parents in law to sell her share in the flat on her behalf under the POA

Such a POA has to be compulsorily stamped and registered

however the authority given by the husband to his parents under the same POA is exempted from payment of any stamp duty [except nominal stamp of Rs. 500] 

as regards the authority given by wife to her parents in law, the POA is required to be stamped for the market value of 50% share of the wife in the flat

later when sale deed is executed between owners and you, you can reimburse the stamp duty paid by the wife on her 50% share in the POA 

So there is no need to take a separate POA by the wife from her parents or other blood relative since there is no restriction in law that a daughter in law cannot authorise her parents in law to sell her property on her behalf

however if payment of extra stamp duty on the POA is to be avoided then a separate POA can be taken by wife from her blood relatives

in the alternative both the husband and wife can themselves sign the sale deed [instead of their attorneys signing the POA] and their POA can be used for completing the registration formalities on their behalf

the husband and wife can sign before the Indian consulate in the foreign country

if the husband -wife have a NRO account then the bank can directly credit money to that account

You can give poa in any bodys name there is no restriction for the same in law.  Only the poa has to be registered.  You can show the said poa in the concerned sub registrar office and take their opinion.  I don't find any issue in the same.  Only If poa executed outside India it has to be attested at Indian embassy there. 

Hello,

The power of attorney in order to be valid has to be registered and it is not necessary that the attorney holder must be a relative. Anybody can be the attorney holder. The objections raised by the bank is not valid and I would like to suggest you to approach other bank for the same .

Hope this helps 

Regards

See the POA can be given to non blood relatives in that case it has to be registered so to save the registration fee wife can make a POA in favour her relative .

Yes it is a valid objection.

Moreover, sale of the property on the basis of the POA has been barred by the Supreme Court recently. 

Refer to the following link: 

https://www.indiatoday.in/india/north/story/property-sale-through-gpa-not-valid-[deleted]

Regards 

Objections raised by bank is valid 

2) POA can be executed only in favour of blood relative 

3) if executed in favour of in laws it has to be stamped as conveyance 

1. The logic of the Bank is disputed. Sale through POA has been barred from the year 2012 to stop evasion of payment of stamp duty for subsequent sales. In cases where the seller is unable to come to India or the Registration office, sale through POA is allowed. The mayyer has been simplified by saying that POA to blood related person is allowed.

2. However, to avoid controversy, it will be prudent on the part of the present POA  holder to meet the Registrar and get the confusion cleared.

3. However, it is important to keep in mind that the buyer shall have to deduct TDS from the sales proceeds to be paid to the NRI which will be 23.92% in case of long term capital gain for the selling NRI.

objection of bank is completely untenable. your  arrangement is absolutely correct. there will be no embargo from the registration office. a person can give POA to a stranger also. please ask the bank authority to produce the provision of law for your knowledge which says that POA cannot be given without blood relation and parent-in -law are excluded from the definition of so called blood relation. 

There is no legal infirmity in the wife giving POA to her parents in law, the banks are not updating their legal knowledge.

The banks, even if by tongue slip utter some words, they will maintain the same mistake till the end holding them as right or else they may straightaway reject the loan application citing some other flimsy reason.

Well, you may may decide about getting a fresh POA for both since the previous POA is not valid as it has been made for both together.

You may have to comply with the bank's requirements if at all you want loan.

The objection raised by the bank is valid as power of attorney cannot be given to a  non blood relative, without payment of stamp duty which is quite high as compared to a power of attorney given to a blood relative.

Dear client 

The objection bank is raising is a baseless objection as a power of attorney can be issue in favour of any person who is capable of being an agent of the principal of power of attorney.

And it is no where mention in law that executant should have blood relation with agent of POA. 

If it is mentioned in the rules of bank then they can ask for this POA but there will be no problem in registration of your property with sub registrar on basis of the POA you have. 

1. As per the information mentioned in the present query, makes it clear that it is the clear and cut case which is covered by the recent judgment of the Hon’ble Supreme Court wherein the Alex court has held that POA or GPA will not be applicable in property transaction (immovable property only).
2. But, yes it can be done only if the same has been executed in the favour of a close relative like mother, father, brother or sometimes in the favour of the husband or wife also.
3. Surely, for her share wife cannot give the power to the in-laws.
4. She either will have to execute a separate POA in favour of her close relative or will have to release her right in favour of her husband by executing a release deed first before executing the POA by the husband.