Can foreigners transfer/dispose of immovable property situated in India by sale or mortgage without RBI’s prior permission? SC explains the true import of Section 31 of FERA, 1973
“Merely because no provision in the Act makes the transaction void or says that no title in the property passes to the purchaser in case there is contravention of the provisions of Section 31, will be of no avail. That does not validate the transfer referred to in Section 31, which is not backed by “previous” permission of the RBI.”