Maharashtra seeks Centre’s decision on new law to stop property frauds
The Maharashtra government has passed a new law to stop illegal and unauthorized deals of irremovable parcels in the state. The law, called the Registration( Maharashtra Amendment) Act, 2023, adds and changes some vittles in the Registration Act, 1908, to make sure that only valid and legal documents are registered by the authorities.
The new law gives the Registrar the power to reject enrollment of any document that relates to a sale that’s banned by any central or state law, or that involves transfer of property possessed by the government or any public body, or that pertains to any property that’s attached by any competent authority or court. The law also makes it mandatory to register some documents, such as agreements relating to deposit of title deeds, trade instruments issued by recovery officers, and irrevocable powers of attorney relating to transfer of immovable property.
The law aims to cover the rights and interests of the real possessors and buyers of irremovable parcels, and to help the abuse and abuse of the enrollment process by dishonest people. The law also wants to promote translucency and responsibility in the real estate sector, and to help the perpetration of colorful programs and schemes of the government.
The law was legislated in response to a judgment of the Bombay High Court, which had questioned the validity of a rule and an indirect issued by the state government, that needed the submission of a no- expostulation instrument or authorization from the competent authority for registering some documents. The court had said that the rule and the indirect were invalid and illegal, and that the Registrar had no power to check the validity of the documents presented for enrollment.
The law has been welcomed by various stakeholders, such as property owners, buyers, developers, lawyers, and activists, who have expressed their hope that the law will help in stopping the widespread malpractices and irregularities in the property market, and in safeguarding the rights and interests of the genuine parties. However, some experts have also raised some concerns and suggestions regarding the implementation and interpretation of the law, such as the need for clarity on the definition and scope of the banned transactions, the criteria and procedure for rejecting registration, the provision for appeal and review, and the impact on the stamp duty and registration charges.
The law is anticipated to come into force soon after the state government notifies the date of its launch in the sanctioned review. The law will apply to all the documents presented for enrollment on or after the date of its launch, no matter the date of prosecution of similar documents. The law will also apply to the documents presented by electronic means, as the law has also changed the vittles of the Registration Act, 1908, to enable the online enrollment of documents.
Source: Times of India
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