Delhi Chief Minister Rekha Gupta on Wednesday issued a directive that all General Power of Attorney (GPA) documents used in property deals will now face a rigorous verification process. The move is intended to prevent revenue loss from stamp duty evasion, curb the influence of land mafias, and tighten administrative controls at sub‑registrar offices.

Background

In recent years, several GPA documents in Delhi were registered merely by changing the name of the parties, while the underlying transaction involved outright sale, gift, or mortgage clauses. This loophole allowed buyers to evade the payable stamp duty, resulting in a substantial fiscal deficit for the state.

New Directives

Under the new orders, any GPA executed in favour of persons other than blood relatives—parents, spouses, children, siblings—cannot be directly registered by a sub‑registrar. Instead, the document must be referred to the Collector of Stamps, who within 30 days will decide whether the instrument is a genuine GPA or should be treated as a conveyance or sale deed with full stamp duty liability.

Implications and Challenges

The policy forces sub‑registrars to scrutinise each GPA for indicators such as monetary consideration, possession transfer, irrevocability, or permanent authority to sell, gift, or mortgage the property. A separate register will be maintained for such cases, and monthly reports will be submitted to the Chief Minister’s Office. This added layer of oversight is expected to close the revenue gap and deter illegal land‑mafia practices.

Future Monitoring

Gupta announced that an online tracking system will be rolled out within a month to monitor GPA‑based transactions in real time. Sub‑registrars who register GPAs that conceal financial gain will face strict disciplinary action. Analysts suggest that, if implemented effectively, the new framework could become a benchmark for other Indian states seeking to safeguard property revenues and promote transparent land markets.