Illegal Transfer of Property of NRI

In the recent years, with a burgeoning real-estate industry, Indian courts have seen an unprecedented growth in civil lawsuits by NRI against the Illegal Transfer of Property of NRI. Trespassers and nefarious elements look for the NRI properties that haven’t been attended to in long and illegally take possession or sell it. To eschew such deceit, our experts recommend NRI and Overseas Indians to take preventive measures and be more proactive. The foremost step is to get the property mutated and transferred to the name of a living heir. Having a property in the name of a deceased owner makes easier for ill-intent people to transfer the property on their name. Moreover, in case of any dispute, it is important to be able to establish the ownership.

The next step would be to have a more proactive role to play in the upkeep of your property. have a regular check to know about the status of your property or the occupants, in case there are, either in person or through a trusted counsel. Lastly, in case you want to have a tenant or caretaker in the property, it is in your best interest to make a proper tenancy or caretaker agreement, defining the exact status of the occupant. It will safeguard your interests in the property against any dispute in the future. Transfer of property can take place in different ways, and any loophole in the transfer can cause your property to fall into the wrong hands. Thus, it is prudent to have your transfers take place under the guidance of a legal expert. It can be inherited either through a Will document or as a way of natural succession in absence of the Will. Further, the living owner can decide to transfer his/her property by way of gift deed. Lastly, transfer of property takes place via sale and purchase deed.

Whatever be the mode of transfer, it is recommended to have a legal counsel or representative, especially in the case of NRI, and not relatives or friends. There have been a lot of cases where NRI get cheated by their own friends and relatives, whom they have trusted with their property. Since the Illegal Transfer of Property of NRI is no longer a rare occurence, it becomes inevitable to understand the reasons and to safeguard your interests, than lamenting later on.

There are three main ways by which Illegal Transfer of Property of NRI takes place:

  1. Forging of Will Document – This is usually done by other shareholders or beneficiaries to withhold the transfer of sales to any other person. In case of NRI, owing to their prolonged absence, it becomes easier for relatives to forge the documents and take over the share of their property.
  2. Another prominent way of Illegal Transfer of Property of NRI is Impersonation of the NRI owner or shareholder. By Impersonating as NRI, they take over the ownership rights of the NRI beneficiary, devoiding him of his right.
  3. Lastly, Power of Attorney has been abused to cheat the NRI of their proper rights. In most of the cases, the trusted family members and agents misuse the power entrusted to them for their personal gains. It is therefore recommended to choose a POA wisely and never to give more power than required for the task at hand, as an indemnity against cheating. To tackle this problem, Government of India has placed a number of checks in case of general Power of Attorney to reduce the risk and dissuade people from opting it.

As a leading law firm, we are completely equipped to resolve the cases of Illegal Transfer of Property of NRI.