By S&S Co. Advocates & Solicitors · Published 30 September 2026 · Informational content, not legal advice: see our disclaimer
Why NRIs Rely on Powers of Attorney, and Why That Creates Risk
Our companion guide on Power of Attorney types and registration covers the general framework: the choice between a General and Special POA, what the deed must contain, and when registration is required. For NRIs specifically, a POA is often not a convenience but a practical necessity, managing or selling property in India from abroad, without someone locally empowered to execute documents, appear before authorities and complete registration formalities, is often simply not workable. That same necessity, however, is exactly what makes NRIs a recurring target for property fraud involving misused or fraudulently obtained Powers of Attorney, a pattern that recent case law, including a 2026 Punjab and Haryana High Court ruling in Sarabjit Kaur v. State of Punjab, continues to illustrate.
How NRI Property Fraud Involving a POA Typically Happens
The recurring fraud pattern generally takes one of a few forms: an agent holding a genuine POA exceeds the authority actually granted, selling or mortgaging property beyond what the NRI intended to authorise; a fraudulent or forged POA is created and used without the NRI's knowledge at all, sometimes using an impersonator claiming to act on the NRI's behalf; or an agent who held a valid POA continues to use it after the NRI has revoked it, particularly where the revocation was not properly registered or publicised, leaving third parties unaware the agent's authority had ended. The 2026 Sarabjit Kaur ruling arose in the context of exactly this kind of NRI property fraud involving impersonation, and reflects courts' continuing engagement with how criminal law responds to these schemes, including the availability of anticipatory bail considerations for those implicated.
Drafting Safeguards to Reduce the Risk
A carefully drafted POA meaningfully reduces this risk. The deed should specify precisely what the agent is authorised to do, naming the specific property, the specific transaction (sale, lease, mortgage) contemplated, and, where possible, even the specific counterparty or a defined process for identifying one, rather than granting broad, open-ended authority over 'all my property in India' that an agent (or someone forging the document) could exploit far beyond what the NRI actually intended. A Special Power of Attorney, limited to a specific, defined transaction, is generally safer for property matters than a General Power of Attorney granting broad, ongoing authority, precisely because its scope is narrower and any misuse is easier to identify and challenge.
Execution From Abroad: Apostille and Attestation
A POA executed by an NRI abroad for use in India generally needs to be properly authenticated for Indian authorities to accept it, either through apostille (for countries that are parties to the Hague Apostille Convention) or through attestation by the Indian embassy or consulate in the country where the NRI is executing the document (for countries that are not). Getting this step wrong, using an improperly authenticated POA, can itself create vulnerabilities, since a document whose authenticity is not properly verifiable through the standard channel is both harder for legitimate counterparties to rely on with confidence and, in principle, easier for a fraudster to imitate without easy detection.
Revocation: The Step Most Often Overlooked
An NRI who has granted a POA and later wants to end the agent's authority, because the transaction is complete, because trust has broken down, or simply as a matter of periodic housekeeping, must revoke it properly, and should not assume that simply telling the agent verbally, or even in a private letter, is sufficient to protect against misuse. A revocation should be executed as a formal document, and, importantly, registered and communicated to relevant third parties (the sub-registrar's office, banks, or other institutions the original POA was presented to) so that anyone dealing with the former agent has a realistic chance of discovering the authority has ended. An unregistered or unpublicised revocation is a significant, recurring source of exactly the kind of fraud these disputes involve, since an agent (or someone impersonating one) can continue transacting on an apparently still-valid POA that third parties have no real way of knowing was actually revoked.
Practical Checklist for NRIs
Grant only the specific authority actually needed, favouring a Special POA over a General POA for property transactions where possible; choose the agent carefully, since a POA concentrates real power in one person's hands; ensure proper apostille or consular attestation before the document is used in India; and if and when the POA is no longer needed, revoke it formally, register the revocation, and actively notify the institutions and counterparties who were shown the original document.
Frequently Asked Questions
Why do NRIs commonly need a Power of Attorney for property in India?
Because managing or selling property in India from abroad, without someone locally empowered to execute documents and complete registration formalities, is often not practically workable: a POA lets a trusted agent in India act on the NRI's behalf.
What kind of POA is generally safer for a property transaction: General or Special?
A Special Power of Attorney, limited to a specific, defined transaction and property, is generally safer than a General Power of Attorney granting broad, ongoing authority, since its narrower scope makes any misuse easier to identify and challenge.
Does a POA executed abroad need special authentication to be used in India?
Yes, generally either an apostille (for countries party to the Hague Apostille Convention) or attestation by the Indian embassy or consulate in the country of execution, depending on the country involved.
What happens if an NRI revokes a POA but doesn't register or publicise the revocation?
The former agent, or someone continuing to use the old document, may still be able to deal with third parties who have no way of knowing the authority ended: an unregistered or unpublicised revocation is a common, avoidable source of continued misuse.
What did the 2026 Sarabjit Kaur v. State of Punjab ruling involve?
It arose in the context of NRI property fraud involving impersonation, reflecting how courts continue to engage with the criminal-law response to schemes exploiting NRIs' reliance on agents and Powers of Attorney to manage property from abroad.
References & Further Reading
This guide provides general safeguards for NRIs using a Power of Attorney for Indian property. Specific drafting and authentication requirements can vary by country and transaction, and a POA for a significant property matter should be prepared with tailored legal advice on both sides.
- Powers of Attorney Act, 1882, and the Registration Act, 1908: general framework governing execution and, where applicable, registration of a Power of Attorney.
- Sarabjit Kaur v. State of Punjab, Punjab and Haryana High Court (2026): NRI property fraud involving impersonation.
- Hague Apostille Convention, 1961: apostille authentication for documents executed abroad for use in India, for signatory countries.