Protecting NRI-Owned Property in India

Property laws in India are vast and often complex, but for Non-Resident Indians (NRIs), there are specific provisions under the Foreign Exchange Management Act (FEMA) and regulations set by the Reserve Bank of India (RBI). These laws allow NRIs to purchase residential and commercial property in India, but prohibit them from buying agricultural land, farmhouses, or plantation property.

Many NRIs also inherit ancestral properties that are either jointly owned or entrusted to relatives, tenants, or third parties for upkeep. Unfortunately, the inability to visit India frequently makes NRIs vulnerable to illegal possession and encroachment.

Often, opportunistic individuals, land mafias, or even distant relatives take advantage of the NRI’s absence. Encroachments typically involve:

  • Fabrication of ownership documents
  • Altering official land records
  • Impersonation before authorities
  • Unauthorized tenants overstaying or claiming rights

In India, tenancy and adverse possession laws can further complicate the matter, giving squatters potential legal loopholes to claim rights over property without consent of the true owner.

To safeguard their property, NRIs should:

  • Secure original ownership documents (sale deeds, gift deeds, Wills, mutation records, jamabandis)
  • Physically secure vacant plots with fencing and clear name/title signage
  • Appoint a Power of Attorney holder they trust to manage the property locally

If a property is found to be encroached, the NRI should:

  • File a police complaint with proper documentation
  • Consult a qualified legal expert for drafting and court proceedings
  • Consider legal negotiations or settlement with the encroacher (if advised)
  • Seek a court injunction or file a suit for possession, restraining orders, or damages

Indian law allows a rightful owner to recover possession if they can prove ownership and wrongful dispossession. An injunction can also be filed to prevent future interference or trespass.

Conclusion:
NRIs must proactively protect their property in India. From securing legal paperwork to erecting physical safeguards and staying updated on local status, every preventive step counts. And if something does go wrong, timely legal action is essential to reclaim what is rightfully theirs.

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Narula.Legal is not a law firm and does not provide legal advice. We are a consultation and coordination platform based in India. Our role is to assist Non-Resident Indians (NRIs) in understanding their legal issues within the jurisdiction of Indian law and to connect them with licensed advocates practicing in India.

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