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rama (Consumer)     10 December 2011

Property power of attorney revoke

Hello,

   We are planning to purchase a property. It does not have the "Moola Pathiram" or Original Parent document.

 They said it was the ancestor property, and it was sold to "Person A" by 20 people 16 years ago.  Then Person A gave Power of Attorney to sell to Person B,  (Say- The total property size is 10000 sqft.)

 then after few years Person B gave power of attorney to Person C for half of the property- 5000sq ft. --say this is DOC123.

Now person B wants to sell the property and asked he needs the money for whole 10000sq ft, as we asked Person C has half the share and he needs to sign and we will give money to him.  They said they will cancel the Power of attorney given to C by Person B.(DOC123)

And they are saying they both went to the register office and cancelled the document. - But register office will not give any document to say that it is cancelled but it will be in their records.  We want to see in the EC. But they are pressurizing us to register the property without EC because DOC123 is in my hand so no problem.

My question is how can we cancel the power of attorney given already to sell the property.

Appreciate your help very much.

Thanks,

Rama



Learning

 5 Replies

Advocate Vishnu (Advocate)     10 December 2011

Rama,

yes , you can cancel  the power of attorney given to another person. From the facts mentioned in your case, I will advice to refrain from buying property from POA holders as a recent supreme court judgement has clearly mentioned that any property bought from POA holders is an illegal transaction .

Rajaraman.A.K (Advocate)     10 December 2011

Mr. Vish is perfect in his answer. In fact my advise is also not to purchase the property to the extend of 10,000 sqft from a powe of attrorney holder. There are several litiagation pending before almost all forms in terms of the power of attorney transaction. Power of Attorney will not convey the ownership at any point of time. So our advise is for a worthy investment on property, don't take this kind of risk..

sridhar pasumarthy (ADVOCATE)     10 December 2011

Dear Rama,

You can purchase the property from the original POA i.e. A but not from other POA's.

A power of attorney cannot delegate his power to another person.  Hence, let them cancel the POA's executed in favour of B and C.

If the POA is registered, you need not worry to purchase the property.  Recent supreme court judgment will not come in the way of your sale transaction.

Dinyar (Law Research)     10 December 2011

You are wrong Vish. Read the Judgement " Suraj Lamp and Industries Pvt. Ltd. Vs.  State of Haryana and others" carefully. This Judgement was given on 11/10/11.  It is nowhere written that a 'sale deed' executed by a POA would be void. 

Advocate Vishnu (Advocate)     11 December 2011

But the judgement clearly explains why POA sale should be avoided as no stamp duty is paid by the POA holders . In rama's query it is very evident that a series of POA's have been executed starting from A( just to avoid stamp duty).  Hence if Rama goes and buys this property from a person having imperfect title, she will continue to have an imperfect title and if any litigation arises, rama will be in poor light.


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