Delhi Government Reinforces Ban on Property Sales via General Power of Attorney
The Delhi government has issued a renewed directive to its revenue department, mandating that all immovable property sales and purchases must be conducted through registered sale deeds. The government is explicitly prohibiting transactions executed through General Power of Attorney (GPA).
This directive, issued by Divisional Commissioner Vijay Dev, follows a significant slowdown in property registrations across 13 sub-registrar offices in the city. This slowdown was attributed to confusion stemming from an advisory issued last month by the government, which sought to curb property transactions using GPAs. An official clarified the intent, stating, “In today’s direction, the government has asked all concerned officials to strictly comply with the Supreme Court order on the issue. The order has been issued to remove the confusion.”
The government's restrictions on GPA as a method for property transfer are rooted in a Supreme Court order from October 12th of last year. Despite the court's ruling, these types of transactions persisted, leading the government to issue the aforementioned advisory. The advisory's immediate impact was a noticeable decline in property registrations at various sub-registrar offices.
The Supreme Court's October 12th ruling unequivocally declared that property sale transactions carried out through GPA lacked legal validity. The court emphasized that the sale or transfer of immovable property should exclusively occur through registered deeds. This reinforced the importance of formal registration processes in property transactions to ensure legal clarity and prevent disputes.