6.1 Maharashtra Land Records & Title Verification

6.1 Maharashtra Land Records & Title Verification

Quick Summary: Land title due diligence in Maharashtra requires navigating two primary revenue document structures: the 7/12 Extract (Saat Bara Utara) for rural/semi-urban land and the Property Card (Malmatta Patrak) for urban city-surveyed areas. Real estate agents must understand land tenure classifications (Occupant Class I vs Class II), Mutation Entries (Ferfar Patrak - Form 6), Non-Agricultural (NA) conversion under Section 44 of the Maharashtra Land Revenue Code 1966, and the execution of a 30-year legal Title Search to protect buyers from defective land titles.

---

1. Statutory Framework of Land Revenue Records in Maharashtra

Land governance in Maharashtra is governed primarily by the Maharashtra Land Revenue Code (MLRC), 1966. The Revenue Department maintains land records to identify land ownership, track agricultural productivity, and collect land revenue taxes. Real estate agents facilitating property sales must recognize that revenue records serve fiscal tax-collection purposes; legal ownership (title) must be corroborated by registered conveyance deeds under the Registration Act, 1908.

---

2. Deciphering the 7/12 Extract (Saat Bara Utara)

The 7/12 Extract is an official revenue extract maintained by the village accountant (Talathi) under MLRC 1966. It derives its name from combining two statutory forms: Form 7 (Record of Rights) and Form 12 (Register of Crops).

A. Components of Form 7 (Record of Rights - Adhikar Patrak)

Form 7 forms the top section of the extract and contains crucial ownership and physical parameters:

1. Village, Taluka & District Details: Specifies the administrative jurisdiction of the land.
2. Survey Number (Gut Number): The master land identification number assigned during government revenue surveys.
3. Sub-division / Hissa Number: Identifies the specific partitioned parcel of land within a larger Survey Number.
4. Total Land Area: Measured in Hectares and Are (where $1 \text{ Hectare} = 100 \text{ Are} = 10,000 \text{ sq. meters} \approx 2.471 \text{ acres}$; $1 \text{ Are} = 100 \text{ sq. meters} \approx 1,076.39 \text{ sq. feet}$).
5. Land Assessment Tax (Judi / Aakar): The annual revenue tax assessed on the parcel.
6. Tenure Classification (Bhumiswami / Occupant Class): Declares legal transferability rights.
7. Names of Occupants / Khatedar: Lists current registered titleholders and their respective fractional shares.
8. Other Rights Column (Itr Adhikar): A critical due diligence section listing existing mortgages, bank charges, statutory encumbrances, pending civil court litigation (lis pendens), or restrictive covenants.

B. Components of Form 12 (Register of Crops - Pakhapani)

Form 12 forms the bottom section and tracks land utilization:

• Crop Names & Seasons: Details Kharif, Rabi, or perennial crops cultivated.
• Cultivated vs. Fallow Area: Indicates active agricultural vs. uncultivated (Pot Kharaba) area.
• Irrigation Source: Specifies whether land is irrigated (Jirayat) or non-irrigated (Bagayat).

---

3. Property Card (Malmatta Patrak) for Urban Areas

When rural land undergoes urban planning under the Maharashtra Regional and Town Planning (MRTP) Act, 1966, the land is surveyed by the City Survey Office (CTSO / Nagar Bhu-Mapan Adhikari). The 7/12 extract is closed, and a Property Card (Malmatta Patrak) is opened.

Key Features of a Property Card:

• City Survey Number (CTS No.): Replaces the rural Survey/Gut number in urban municipal limits (e.g., BMC, PMC, NMMC).
• Plot Number & Town Planning Scheme (TPS) Details: Identifies specific sub-plots.
• Land Area in Square Meters: Urban property cards record exact land area in metric units ($\text{sq. meters}$).
• Ownership & Encumbrance Record: Lists titleholder names, registered mortgage entries, municipal easements, and lease terms.

7/12 Extract vs. Property Card Comparison

---

4. Land Tenure Classifications under MLRC 1966

Understanding land tenure is vital for real estate agents to determine whether land can be legally sold or developed without government consent:

1. Occupant Class I (Bhumiswami Class 1): Absolute private ownership. Land is freely alienable, transferable, inheritable, and mortgagable without needing prior approval from revenue authorities.
2. Occupant Class II (Bhumiswami Class 2): Restricted tenure. Land granted by the government to specific beneficiaries (e.g., freedom fighters, backward classes, ex-servicemen) or tenant farmers under the Bombay Tenancy and Agricultural Lands Act 1948 (Kul Kaida).
   • Legal Restriction: Cannot be sold, leased, partitioned, or converted to Non-Agricultural (NA) use without prior written sanction from the District Collector and payment of a state premium (Nazrana / unearned income tax, typically 50% of Ready Reckoner value).
3. Tribal Land Restrictions (Section 36 & 36A MLRC): Land belonging to Scheduled Tribe (ST) owners cannot be transferred to non-tribal individuals without prior approval of the State Government / Collector. Transactions violating Section 36A are void ab initio.
4. Leasehold Land: Owned by government planning authorities (e.g., MHADA, CIDCO, MMRDA, MIDC) and leased to societies or developers for fixed terms (30, 60, or 99 years). Transfer requires a No Objection Certificate (NOC) and transfer fees paid to the authority.

---

5. Mutation Entry (Ferfar Patrak - Form 6)

A Mutation Entry (Form 6) records any change in land rights or ownership structure resulting from:

• Sale, gift, exchange, or release deeds
• Inheritance / succession (Waris Haqq)
• Partition among legal heirs
• Mortgage creation or redemption with financial institutions

Statutory Mutation Procedure (Sections 148–150 MLRC):

1. Reporting: Acquirer submits registered document to the Talathi within 3 months.
2. Entry in Form 6: Talathi enters the proposed mutation in the Ferfar register.
3. Form 13 Notice: Public notice issued to interested parties allowing a statutory 15-day objection period.
4. Certification: If no valid objections are received, the Circle Officer certifies the mutation entry, updating Form 7.

---

6. Non-Agricultural (NA) Permission (Section 44 MLRC 1966)

Agricultural land in Maharashtra cannot be used for real estate construction without obtaining Non-Agricultural (NA) conversion permission under Section 44 of MLRC 1966.

Types of NA Sanctions:

• NA Residential: Construction of housing projects, townships, or apartments.
• NA Commercial: Malls, office complexes, hotels, and retail centers.
• NA Industrial: Factories, warehouses, and industrial parks.
• Deemed NA: Under recent legislative amendments, if land is located within a final sanctioned Development Plan (DP) or Regional Plan under the MRTP Act 1966, separate NA permission from the Collector is waived; statutory notice and payment of conversion premium to the Tahsildar confers Deemed NA status.

---

7. Title Search & Advocate Due Diligence (30-Year Search)

Before executing a real estate transaction, an advocate issues a Title Search Report & Title Clearance Certificate:

1. 30-Year SRO Search: Inspecting physical and digital Index-II registers at the Sub-Registrar Office (SRO) for a continuous period of 30 years to verify unbroken chain of ownership.
2. Public Notice: Publishing a public notice in two local newspapers (one English, one regional Marathi) inviting claims or objections within 14 days.
3. Search Report Verification: Confirming freedom from liens, court attachments (lis pendens), bank equitable mortgages, or minor rights.

---

8. Summary Comparison of Due Diligence Documents