In a major move to protect property buyers, the Uttar Pradesh Cabinet has approved a crucial decision allowing the department of stamp and registration to carry out mandatory checks of property ownership details before registering a sale.

This new rule aims to curb fraudulent property deals, prevent the sale of fake or disputed land, and significantly reduce prolonged litigation for the general public.

Putting an End to Fraudulent Registrations

Minister of State (Independent) for Stamp and Registration, Ravindra Jaiswal, stated that under the new rules—the finer details of which will be formulated soon—the verification of ‘khatauni’ (land records) and ownership-related documents will become mandatory before any property registration can proceed.

“We saw in many cases that property is sold by individuals who are not the actual owners,” Jaiswal explained. He noted that there have been frequent instances where sale deeds were registered for prohibited or restricted properties, properties sold beyond a person’s legal ownership rights, attached properties, and shockingly, even land owned by the Central or state government.

Such fraudulent cases eventually lead to complex disputes, causing immense financial and mental hardship for unsuspecting buyers.

Empowering Sub-Registrars with New Amendments

Currently, under Section 35 of the Registration Act, 1908, sub-registrars have limited powers to refuse the registration of documents. Because of this limitation, registrations sometimes take place even when cases appear suspicious. The proposed changes will increase the authority of these officers.

The proposed amendments include:

• Section 22-A: Will allow restrictions on the registration of certain categories of documents.
• Section 22-B: Will include provisions to ensure the proper identification of immovable property before registration.
• Section 35-A(1): Will grant the registration officer the authority to outright refuse registration if the documents presented do not include necessary papers related to ownership, rights, identification, or lawful possession, as specified by the state government.

“Once the changes are implemented, this system will effectively prevent the registration of fake and disputed properties,” Jaiswal added. After Cabinet approval, the bill will now be presented before the state legislature for final approval.

Essential Documents Checklist for Buying a Plot

While the government is tightening registration laws, buyers must remain vigilant. If you are purchasing a plot, ensure you verify the following documents before proceeding:

• Allotment Letter: This document proves that the plot has been allotted to the seller, confirming their legal right to sell it.
• No Due Certificate: This confirms there are no outstanding dues on the plot.
• Possession Letter: It ensures the seller has physical possession of the plot and is ready to hand it over.
• On-Site Position Verification: Visit the plot and verify the on-site position to ensure it matches the records and is ready for use.
• Site Plan: Examine the Site Plan to confirm the layout, dimensions, and boundaries of the plot.
• Transfer Deed and Flash Registry: It officially transfers ownership from the seller to you and records it instantly.
• Additional Documents for Resale Plot: Transfer Memorandum to authorize the sale, and the Mutation Certificate to update ownership in local records.
• Direct Allotment vs. Resale Process: With a resale plot, these steps are required each time ownership changes hand.