A power of attorney (POA) lets someone in India sign property documents for an NRI who lives abroad. It is legal and common, but it is also the document behind many property frauds. Before you rely on one, check four things: that it is genuine, that it covers this exact property and act, that it is properly executed and registered where required, and that the person who gave it is alive and has not cancelled it.
What can a power of attorney do?
A POA lets the holder (the agent) act for the owner (the principal). A specific POA covers one task, such as selling one named property. A general POA covers many tasks. For a property sale, a specific POA that names the property and the act of selling is the safer choice.
What a POA cannot do
A POA is not ownership. The Supreme Court made this clear in 2011 in Suraj Lamp & Industries: property title passes only through a registered sale deed. “Sales” done only through a general power of attorney, an agreement and a will do not transfer ownership. If someone offers you property backed only by a “GPA sale”, the buyer before them may never have owned it.
How should an NRI give a POA from abroad?
In broad terms:
- The POA is signed abroad before the Indian embassy or consulate, or before a local notary with an apostille, depending on the country.
- Once it reaches India, stamp duty must be paid on it within the time allowed, usually three months.
- For property sales, the POA is generally registered or presented at the sub-registrar’s office along with the sale.
Rules and practice change, and they differ for different acts. Have a lawyer in India confirm the exact steps for your case before you sign.
Common POA frauds
- Forged POA. A fake POA, with a forged signature, used to sell an NRI’s property while they are abroad.
- Cancelled POA. The owner cancelled the POA, but the agent still uses the old copy.
- Dead principal. A POA ends when the owner dies. Sales after that are invalid.
- Wider use than intended. A POA given to “manage” a property is used to sell or mortgage it.
- Several buyers. The same property sold to two buyers through two copies of the POA.
Checks to run when the seller signs through a POA
| Check | How |
|---|---|
| Is the POA genuine? | Get a certified copy from the sub-registrar where it was registered, and compare |
| Does it cover this act? | Read the wording: the property, the survey number and the power to sell must be stated |
| Is the owner alive and aware? | Speak to the owner on a video call, and see their passport |
| Has it been cancelled? | Ask the owner directly, and search the registration records for a cancellation deed |
| Was stamp duty paid? | Look for the adjudication or stamp endorsement |
| Is the agent who they say? | Verify the agent’s identity documents |
If you are the NRI giving a POA
- Give a specific POA for one property and one act, not a general one.
- Put an end date in it.
- Keep a list of every POA you have given, and register a cancellation when you no longer need one.
- Ask the agent to send you copies of every document they sign.
- Keep checking the EC for your property from abroad.
How Ameya Artha helps
When a deal involves a POA, we check the POA’s registration, the owner’s identity and the title chain, run a court case search and visit the site, so you are not trusting a single piece of paper. See the Property & Seller Check