• Validity of notarized GPA for transferring immovable property

I am fighting a fraud case where I had to executed an Notarized GPA in the State of Karnataka in August 2008 where I had given power to sell. This property was transferred  by this fraudulent person to his mother vide a registered sale deed without my knowledge based on Notarized GPA within 3 months of executing the same.   He was supposed to give us another property which he did not do and whacked my property. But unfortunately this exchange was not mentioned in GPA but a separate document has been created.
We are fighting this case. Opponent lawyer in his written reply has mentioned in his one of the point as follows :
`It is a misplaced concept ion that the General Power of attorney ought to have been registered for immovable property under the Indian Registration act. What the statute contemplates is that the power of attorney is to be properly authenticated. Notarization is one of the proper form of authenticating power of attorney in the eye of law and as such General power of attorney dated 28.08.2008 is valid and properly ratified. Therefore , plaintiff is stopped from questioning the validity of the general power of attorney.  Even otherwise the General Power of attorney has been produced before the sub registered at the time of registration of the sale deed which amounts to due authentication. `

We had mentioned that GPA has to be registered for transfer of immovable property as per registration act.
Is this true? If yes do I have a defense for the same. Is there any S C ruling in support of my claim.
Asked 1 year ago in Property Law from Mysore, Karnataka
Religion: Hindu
Hi, in the year 2011 Supreme Court has held that the property transferred by way of GPA, will in order to avoid stamp duty that kind of transaction is invalid.

2. In your case you have to take contention that GPA is invalid.

Pradeep Bharathipura
Advocate, Bangalore
4105 Answers
133 Consultations
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1) in 2008 there was no requirement for compulsory registration of power of attorney 

2)in Maharashtra as per amendments made to registration act with effect from 1st April 2013 power attorney for sale of immovable properties require compulsory registration 

3) prior to Maharashtra amendment act 2010 registration was optional . It was only required to be notarised before notary public 

4) in your case transfer of immovable property based on notarised POA would be valid as was executed in 2008 
Ajay Sethi
Advocate, Mumbai
23240 Answers
1219 Consultations
5.0 on 5.0
A power of attorney is not compulsorily registrable unless it creates an interest in any immovable property. Registration of power of attorney is optional In India before 2009.But after the Honble Supreme Court vide its judgment rendered in case titled as Suraj Lamp and Pvt. Ltd. v/s State of Haryana and another. The nature ,scope and execution is redefined.
Ajay N S
Advocate, Ernakulam
1915 Answers
19 Consultations
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The Supreme Court today ruled that sale transactions carried in the name of general power of attorney will have no legal sanctity and immovable property can be sold or transferred only through registered deeds.
The apex court said high stamp rates has led to rampant abuse of the general power of attorney (GPA), sale agreements (SA) and Wills, resulting in huge loss of money to the exchequer.
“Transactions of the nature of `GPA sales¿ or `SA/GPA/WILL transfers' do not convey title and do not amount to transfer nor can they be recognised or valid mode of transfer of immovable property.
“The courts will not treat such transactions as completed or concluded transfers or as conveyances as they neither convey title nor create any interest in an immovable property.
The above confirms that you have a strong case to challenge.
T Kalaiselvan
Advocate, Vellore
14010 Answers
127 Consultations
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1. It is true that a GPA has to be registered before a sale can be made on its basis. No conveyance is possible through an unregistered GPA.

2. Notarization of GPA is not equivalent to registration. 

3. The sale is illegal if the GPA is not registered.
Ashish Davessar
Advocate, Jaipur
18102 Answers
448 Consultations
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1) you don't have a case 

2) registration of POA was optional in 2008 

3) it was sufficient if POA was notarised 

4) it is only with effect from December 2012 had registration been made mandatory in. Tamil Nadu 
5) as far as Karnataka is concerned only local lawyer can guide you as to when registration was made mandatory in Karnataka 
Ajay Sethi
Advocate, Mumbai
23240 Answers
1219 Consultations
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1. As per vthe Apex court order in connection with Surya Lamps.....Vs/.......State of Haryana passed in the yrar 2012, unregistered GPA/POA executed for transferring immoveable property will be treated as illegal,

2. You can not challenge the GPA since you have executed it,

3. The GPA is required to be seen to comment whether the POA holder was required to deposite the sale proceeds in your account as a condition to make the POA valid,

4. Regarding exchange with another property of the POA holder, you shall have to file a seperate case against him.
Krishna Kishore Ganguly
Advocate, Kolkata
12112 Answers
231 Consultations
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1. You have executed and notarised the said GPA authorising him to deal with your property,

2. You have not registered the said GPA executed by you,

3. How will you challenge the registration of the sale deed with the help of the said GPA?

4. Such registration of GPA for dealing with property has become manadory from 2012.
Krishna Kishore Ganguly
Advocate, Kolkata
12112 Answers
231 Consultations
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The power of attorney executed on 2008 before notary is valid.Registration of POA was optional in 2008 .Compulsory registration is effected  from December 2012 on wards. 
Ajay N S
Advocate, Ernakulam
1915 Answers
19 Consultations
5.0 on 5.0
The execution and registration of sale deed on the basis of notarised GPA is invalid, this has been upheld by the Supreme court itself.  Therefore the transaction can be held invalid and the sale deed can be declared as null and  void. 
T Kalaiselvan
Advocate, Vellore
14010 Answers
127 Consultations
5.0 on 5.0

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