purchasing revenue site using notary gpa (unregistered)


Greetings Everyone

 

 

I am planning to Purchase a revenue site in Bangalore. This Site comes under BBMP but it does not have DC conversion or A Khatha.

 

The background

7.2 Acres of  Agriculture land was purchased by Mr.A in 1988.

Mr. A Gave Registered GPA to Mr. B in 1994 for the entire 7.2 Acres

Mr. B formed layout and Sold Site Number 99 to Mrs. C  aged 35 and Ms. D aged 9 (Minor represented by Mother Mrs.C) in 1995.

Mrs C (Supposed to be Aged 45 but Document it is mentioned 35) and Ms D Aged (19) gave Notary GPA (Unregistered)  to Mr.V

Now Mr.V is trying to sell the property to me.

 

1.Is the Unregistered Notary GPA is valid?

2. How do I determine the Notary GPA is not cancelled?

3. I would like to request Mrs.C and  Ms.D to come and execute sale deed. But unfortunately Ms. D is in USA and difficult for her to come. What are the options I have?

4. I do not have much choice because this site I am getting due to some complication I experienced in another property. Either I take it or loose it. I only need to pay the registration fees.

5. I understand I first register the Notary GPA by paying stamp duty then again register the property in my name using sale deed. In such case I need to pay twice stamp duty and registration fees? any work around?

 

6. Any other precautionary measure I need to take?

 

Appreciate if you could guide me. 

 

Thank you

 

 

 

 
Reply   
 
Student

Dear Mr.Rams,

You seem to face the problem of due diligence and or purchase of property  which has been previously changed hands on the basis of unregistered Power of Attorney.  In my humble opinion you are treading in difficult waters as in light of Supreme Court judgement where it has been emphatically stated in Suraj Industries case that it is not permissible that any one should be allowed to sell or purchase the property which results in loss of revenue to the exchequer.  In the instant case in hand as well the title chain does not seems to relate from one hand to another as one cannot transfer a better title which he/she has got.  As such you have two options at hand bargain hard with the original owner and get the NOC from subsequent persons and get the property transferred in your name.  Alternatively get a indemnity signed and executed from the seller that due to any reason if a loss occurs for the defect in title cancellation of previous GPA he will keep you indemnified.  

For practical reasons it is not suggestable that one should tread in these difficult situations.

I hope this clarifies your query amply.

Thanks and best regards

 

Daksh


Total likes : 1 times

 
Reply   
 



Thank you Daksh. Appreciate. I dropped an email to Mrs.C's husband.Who replied me as follows

"We sold this property over 10 years ago, and have no further interest in the matter."

so the only option is  get a indemnity signed and executed from the seller that due to any reason if a loss occurs for the defect in title cancellation of previous GPA he will keep you indemnified.  

 

It is a calculated risk. I think it is worth it.

 

Thank you once again for your help. I really appreciate.

 
Reply   
 

LEAVE A REPLY


    

Your are not logged in . Please login to post replies

Click here to Login / Register  



 

  Search Forum








×

  LAWyersclubindia Menu

CrPC MASTERCLASS     |    x