Shubhangi Patil (Management Trainee) 10 February 2009

Is Power of Attorney to be registered?

Hi,

I want to Know:

When Power of Attorney is given by the Company to its Chief Manager or Director or anyone to take any property or to sell it or anything to be done on behalf of Company than is it mandatary to get it registered? If not registerd than what will be its ill-effects?

Stamp Charges for POA is Rs. 100/- and if the POA mentioned above is to be registered than how much will be the charges?

Regards

Shubhangi

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16 Replies

N.Ramakrishnan (Advocate/ Senior Partner) 10 February 2009

Dear Shubhangi,

Though the Registration act does not make it mandatory to register a POA, it has now become a normal practise to register the same when the Power contemplates dealing in immovable properties. Some of the states have also made it mandatory to resgister POA's which gives the power to transfer immovable properties. Registration fee may vary fro state to state.

Thanks, Ramakrishnan ADV

PALNITKAR V.V. (Lawyer) 10 February 2009

I would like to differ. Please See the following section of Registration Act. According to that provision Registration of POA is mandatory. If it is not registered the deed executed by POA may become illegal. The charges depend upon the value of the property. The office of the Registrar has got a table of charges.

33.Power- of- attorney recognizable for purposes of section 32.-

(1) For the purposes of section 32, the following powers- of- attorney shall alone be recognized, namely:--

(a) if the principal at the time of executing the power- of- attorney resides in any part of 2[ India] in which this Act is for the time being in force, a power- of- attorney executed before and authenticated by the Registrar or Sub- Registrar within whose district or sub- district the principal resides;

(b) if the principal at the time aforesaid 3[ resides in any part of India in which this Act is not in force], a power- of- attorney executed before and authenticated by any Magistrate;

(c) if the principal at the time aforesaid does not reside in 2[ India], a power- of- attorney executed before and authenticated by a Notary Public, or any Court, Judge, Magistrate, 4[ Indian] Consul or Vice- Consul, or representative 5[ of the Central Government:

1. Subs. by Act 39 of 1948, s. 3, for" s. 31 and s. 89." 2. Subs. by Act 3 of 1951, s. 3 and Sch., for" the States.". 3. Subs. by s. 3 and Sch., ibid., for" resides in any other part of the States". 4. Subs. by the A. O. 1950 for" British". 5. The words" of His Majesty or" omitted, ibid.

Provided that the following persons shall not be required to attend at any registration- office or Court for the purpose of executing any such power- of- attorney as is mentioned in clauses (a) and (b) of this section, namely:--

(i) persons who by reason of bodily infirmity are unable without risk or serious inconvenience so to attend;

(ii) persons who are in jail under civil or criminal process; and

(iii) persons exempt by law from personal appearance in Court. 1[ Explanation.-- In this sub- section" India" means India, as defined in clause (28) of section 3 of the General Clauses Act, 1897 (10 of 1897 )].

(2) In the case of every such person the Registrar or Sub- Registrar or Magistrate, as the case may be, if satisfied that the power- of- attorney has been voluntarily executed by the person purporting to be the principal, may attest the same without requiring his personal attendance at the office or Court aforesaid.

(3) To obtain evidence as to the voluntary nature of the execution, the Registrar or Sub- Registrar or Magistrate may either himself go to the house of the person purporting to be the principal, or to the jail in which he is confined, and examine him, or issue a commission for his examination.

(4) Any power- of- attorney mentioned in this section may be proved by the production of it without further proof when it purports on the face of it to have been executed before and authenticated by the person or Court hereinbefore mentioned in that behalf

1 Like

N.K.Assumi (Advocate) 10 February 2009

As per your version your power of Attorney falls within the meaning of special power of attorney and as per sections 32 and 33 of the indian registration act it has to be registered before the sub registrar.

RAKHI BUDHIRAJA ADVOCATE (LAWYER AT BUDHIRAJA & ASSOCIATES SUPREME COURT OF INDIA) 24 February 2009

I do agree with Mr. Palnitkar.

BHANU RASPUTRA (ADVOCATE & SOLICITOR divyatta.r@gmail.com) 07 March 2009

IN MAHRASHTRA IF NEW POWER IS PREPARED THEN ON RS.500/- STAMP PAPER.

IF RELATING TO DIFFERENT STATE THEN REQUIRE TO REGISTER WITH ATTACHING resolution.

Heaven 2011 (SERVE FRIENDS) 16 March 2009

Registration of power of attorney is not mandatory.

A V Vishal (Advocate) 16 March 2009

Dear Friends,

Mr Palnitkar is right, the POA has to be registered under the Provisions of S.32 of the Registration Act, this being that the company is giving power to the employee for some specific performance of duties on behalf of the company. In A P the POA needs to be registered or it is not valid. Further S.33(1)(a) specifies the condition under which the POA needs to be registered

Swami Sadashiva Brahmendra Sar (Nil) 16 March 2009

yes . its registration is nesessory. mr. palnitkar is right.

Y V Vishweshwar Rao (Advocate ) 23 March 2009

I agree with the views expressed by learned members

I furhter add to the aobve as her eunder ;-

A Company is a Corporatate Body and will be represented by its Board of Directors and under a Company Baord Direcotrs Resolution a Director will be /cna be nominated /specified to represent the Comapany while dealign with properties and execution & Registration of the Deeds before the Sub Registrar

The Company will be executiing the documents and also accepting the Documents represneted by its authorised/nominated /specified Director or Comapny Officer . A Resoultion by Board of Direcoitors of the Comapny Limited /Private Limited is sufficient to represent the Comapny , in my view there is no need to execute any POA or a Regd Paower of Attorney . The Company will always be represented by its Direcotors s and persons/Officers authorised by Board of Direcotros under a Resolution .

Comapany Pvt/Ltd -Corproate Body represented by its Chairman/MD/Director /Authorised Officer is to be mentioend in the Deeds to be Registered and the Resolution of the Comapy Board be palced before the SRO for hsi Verification and Satisafction.

BHANU RASPUTRA (ADVOCATE & SOLICITOR divyatta.r@gmail.com) 30 March 2009

I DO NOT AGREE WITN MR.RAO.

INSPITE OF RESOLUTION , IN MAHARASHTRA REGISTRATION AUHTORITY ARE ASKING FOR NOTAIRSED POWER , IF WIHTIN STATE IMMOVABLE PROPERTY.

IF OUTSIDE STATE THEN RESOLUTION WITH REGISTERED POWER IS MANDATORY.

Siva (Advocate) 03 April 2009

For registering a POA within a state notarisation of the POA by a notary practising in that state is enough. In case if the property is in other state it mandatory to be registered

The stamp paper for registration will be Rs. 100/- (or the rate prescribed by the govt from time to time) and the registration fee will be Rs. 51/-

BHANU RASPUTRA (ADVOCATE & SOLICITOR divyatta.r@gmail.com) 03 April 2009

mr.siva has confirmed my view.

SRIPRAKASH BHATTACHARYA (RETIRED) 16 April 2009

AS PER "SECTION 32 OF THE REGISTRATION ACT, 1908" - ' EXCEPT IN THAE CASES MENTIONED IN SECTIONS 31, 88 AND 89, EVERY DOCUMENT TO BE REGISTERED UNDER THIS ACT, WHETHER SUCH REGISTRATION BE COMPULSORY OR OPTIONAL, SHALL BE PRESENTED AT THE PROPER REGISTRATION - OFFICE'

SRIPRAKASH BHATTACHARYA

KOLKATA

16.04.2009

B Prashant Kumar (Final Year Law Student) 20 February 2012

Section 33 talks about PoA to be used for the purpose of Section 32 only. It is a special PoA.

Moreover, it clearly talks about only authentication or notarisation by appropriate persons, in no case, whether special of general PoA is required to be registered.

The moment you call for registration of PoA, the whole purpose of the same would be infructuous and a vicious circle of "dependent documents required" would be created!

B Prashant Kumar

Final Year Student - LL.B. (Hons. in IPR)
Rajiv Gandhi School of Intellectual Property Law,
IIT Kharagpur.