LEGAL ISSUES OF NRIs
Bright side of life always has a shade of darkness. There is no doubt that, NRIs have increased multifold in foreign jurisdictions & earning much more than their Indian counterparts but still many NRI’s are facing some common issues which is creating sense of insecurity, complications & hindrances in their lives. At present many of them are confronting through disputes relating to property issues regarding investments in property, illegal occupation of lands/flats/apartments/houses by some crooked & deceitful persons, Transfer of ownership or assigning power of Attorney & on other hand meeting through problems of matrimonial issues. These problems are handicapped for want of proper professional information and advice on Indian laws. The lure of settling in foreign jurisdictions attracts a sizeable Indian population but the problems created by such migration largely remain unresolved.
NRI Property Issues
NRIs property encroachment is a serious issue. Property dispute is one of the most common complaints by NRIs. They are unable to protect their property due to long absences or lack of awareness of laws. The nature of the complaints are mainly over protection of properties that have been forcibly occupied or encroached, disputes relating to division of property or inheritance, and cases where investors have been cheated by real estate developers. Purchasing, selling, and maintaining the property in India need hard and diplomatic efforts. Most of the NRIs wish to invest their money in properties. Finding proper property with correct rates has become a problem. After the purchase, maintaining the property is another hard task.
From time to time real estate prices get huge hike, as a result NRIs are going back home to stake claim to their assets. But they find themselves embroiled in tedious litigation after being duped of their ancestral property or one purchased by remitting money back home. Many cases involving NRIs in property-related disputes are pending in courts. The insecurity among expatriates over their properties is recognized as a major hurdle in attracting NRI investment. The NRIs now see property investments as a risky gamble.
Solution of the problem
The acquisition and transfer of immovable property has financial implications and falls within the ambit of FEMA (Foreign Exchange & management Act). FEMA guidelines permit both Non-Resident Indians (NRIs) and Foreign Nationals of India Origin (PIOs) to enter into property transactions. NRI or PIO is free to acquire any number of properties (residential/commercial) in India, under the general permission granted by the RBI.
Law treats inheritance with more caution. Inheritance of a property in India from a person resident outside India needs specific approval from the RBI and will be permitted only if the bequeather had acquired such property in accordance with the provisions of foreign exchange law at the time of acquisition, or under FEMA regulations.
An NRI is free to transfer his property by way of sale or by way of gift. If he sells it to a Indian resident, the need for prior approval does not arise. An NRI need not get prior approval even if he is selling the property to another NRI. While he can freely acquire residential or commercial property.
Agricultural land, plantation property and farmhouse in India can neither be purchased nor be obtained by way of gift by an NRI or a PIO. It can only be inherited. On the other hand, but NRI can freely sell or gift these properties, but only to someone who is a citizen of India and who stays in India.
NRI Matrimonial issues
The phenomenon of one spouse abandoned by other, of Indian origin is not a new. More and more problems are emerging with NRI marriages. The problem is not just opportunistic NRIs, but also those who put their trust in someone whom they have barely met. The personal gains take priority over any consideration for the long term well-being of the bride/groom. Fault lies with both sides. Actually, the blame lies more on those who get married to someone just because he/she is an NRI.
It is the rural & middle class people that often succumb to the temptation of acquiring foreign bride/groom. At no stage do parents of girl try to enquire about the NRI grooms, their previous marital status, profession, income etc. The parents of girl ignore the formalities like verifying the credentials of the prospective bridegroom or taking the precaution of getting marriage registered & marriages usually take place within a short period of time.
Usually girls & her parents do not seek any legal advice or counseling after desertion. They keep on waiting for compromise or reconciliation. Later on husband refuses to provide any financial or moral support to his wife. This whole process ruins the life of a girl. To overcome these problems following steps should be taken:
Suggestion & Recommendations
The court registration of girl’s marriage with the NRI under Hindu Marriage Act should be made compulsory.
The photograph of NRI groom & his Indian spouse taken jointly should be posted on marriage certificate which should also include details of groom’s passport & country which has issued passport.
Registration of FIR should be made compulsory in desertion cases.
Some steps have been taken by Government to prevent abandoning of NRI spouses:
The Law Commission headed by Justice AR Lakshmanan, in its 219 th report has proposed:-
1) Compulsory registration of marriage where one of the spouses is a NRI.
2) Submission of these Marriage documents to the relevant Embassy in India of the country where NRI resides.
3) Creation of Fast Track courts in India to try NRI matrimonial / succession cases.
4) Uniform law regarding the adoption of Indian children by NRIs and simplification of inter country child adoption procedures.
5) Amendment of the Marriage Laws to provide for maintenance, alimony etc, for Indian brides.
The Ministry of Women and Child Development (WCD) has proposed that women who marry Non-Resident Indians (NRIs) should be issued a second passport, which will remain with the woman’s parents so that they can help her to return in case her first passport is snatched by an abusive husband.
The government needs to bring in a comprehensive regulation to ensure that all the protection accorded by the law to Indian women with regard to marriage, divorce, maintenance, inheritance and custody of children should apply to victims of fraudulent NRI marriages. It is high time; the Government does some practical work and take some strict actions so that no more Indian girls left to curse their fate because of being duped by NRI husbands.
NRI Property Issues
NRIs property encroachment is a serious issue. Property dispute is one of the most common complaints by NRIs. They are unable to protect their property due to long absences or lack of awareness of laws. The nature of the complaints are mainly over protection of properties that have been forcibly occupied or encroached, disputes relating to division of property or inheritance, and cases where investors have been cheated by real estate developers. Purchasing, selling, and maintaining the property in India need hard and diplomatic efforts. Most of the NRIs wish to invest their money in properties. Finding proper property with correct rates has become a problem. After the purchase, maintaining the property is another hard task.
From time to time real estate prices get huge hike, as a result NRIs are going back home to stake claim to their assets. But they find themselves embroiled in tedious litigation after being duped of their ancestral property or one purchased by remitting money back home. Many cases involving NRIs in property-related disputes are pending in courts. The insecurity among expatriates over their properties is recognized as a major hurdle in attracting NRI investment. The NRIs now see property investments as a risky gamble.
Solution of the problem
The acquisition and transfer of immovable property has financial implications and falls within the ambit of FEMA (Foreign Exchange & management Act). FEMA guidelines permit both Non-Resident Indians (NRIs) and Foreign Nationals of India Origin (PIOs) to enter into property transactions. NRI or PIO is free to acquire any number of properties (residential/commercial) in India, under the general permission granted by the RBI.
Law treats inheritance with more caution. Inheritance of a property in India from a person resident outside India needs specific approval from the RBI and will be permitted only if the bequeather had acquired such property in accordance with the provisions of foreign exchange law at the time of acquisition, or under FEMA regulations.
An NRI is free to transfer his property by way of sale or by way of gift. If he sells it to a Indian resident, the need for prior approval does not arise. An NRI need not get prior approval even if he is selling the property to another NRI. While he can freely acquire residential or commercial property.
Agricultural land, plantation property and farmhouse in India can neither be purchased nor be obtained by way of gift by an NRI or a PIO. It can only be inherited. On the other hand, but NRI can freely sell or gift these properties, but only to someone who is a citizen of India and who stays in India.
NRI Matrimonial issues
The phenomenon of one spouse abandoned by other, of Indian origin is not a new. More and more problems are emerging with NRI marriages. The problem is not just opportunistic NRIs, but also those who put their trust in someone whom they have barely met. The personal gains take priority over any consideration for the long term well-being of the bride/groom. Fault lies with both sides. Actually, the blame lies more on those who get married to someone just because he/she is an NRI.
It is the rural & middle class people that often succumb to the temptation of acquiring foreign bride/groom. At no stage do parents of girl try to enquire about the NRI grooms, their previous marital status, profession, income etc. The parents of girl ignore the formalities like verifying the credentials of the prospective bridegroom or taking the precaution of getting marriage registered & marriages usually take place within a short period of time.
Usually girls & her parents do not seek any legal advice or counseling after desertion. They keep on waiting for compromise or reconciliation. Later on husband refuses to provide any financial or moral support to his wife. This whole process ruins the life of a girl. To overcome these problems following steps should be taken:
Suggestion & Recommendations
The court registration of girl’s marriage with the NRI under Hindu Marriage Act should be made compulsory.
The photograph of NRI groom & his Indian spouse taken jointly should be posted on marriage certificate which should also include details of groom’s passport & country which has issued passport.
Registration of FIR should be made compulsory in desertion cases.
Some steps have been taken by Government to prevent abandoning of NRI spouses:
The Law Commission headed by Justice AR Lakshmanan, in its 219 th report has proposed:-
1) Compulsory registration of marriage where one of the spouses is a NRI.
2) Submission of these Marriage documents to the relevant Embassy in India of the country where NRI resides.
3) Creation of Fast Track courts in India to try NRI matrimonial / succession cases.
4) Uniform law regarding the adoption of Indian children by NRIs and simplification of inter country child adoption procedures.
5) Amendment of the Marriage Laws to provide for maintenance, alimony etc, for Indian brides.
The Ministry of Women and Child Development (WCD) has proposed that women who marry Non-Resident Indians (NRIs) should be issued a second passport, which will remain with the woman’s parents so that they can help her to return in case her first passport is snatched by an abusive husband.
The government needs to bring in a comprehensive regulation to ensure that all the protection accorded by the law to Indian women with regard to marriage, divorce, maintenance, inheritance and custody of children should apply to victims of fraudulent NRI marriages. It is high time; the Government does some practical work and take some strict actions so that no more Indian girls left to curse their fate because of being duped by NRI husbands.
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