Buying up Paradise

The drug trade in Goa is two-way. Smugglers coming in bring cocaine, LSD and other expensive drugs and take out ganja and charas sourced mainly from Manali in Himachal Pradesh. Mandrax has also emerged as a favorite among the smugglers.

‘‘We have got information that some foreigners are buying up land in North Goa. We are investigating the matter,’’ says DIG Ujjwal Mishra. But sources say the state police haven’t been able to get definite information on the Russian mafia from the Central agencies.

‘‘Foreigners who get into disputes and quarrels do not register complaints with the police since their passports would have to be deposited with us,’’ says a senior police officer. This fear has resulted in the police not being able to create sources within the huge expatriate community.

According to a senior police officer in North Goa, certain land purchases came to light only when they checked the records at the sub-registrar’s office. ‘‘We want the laws to be changed, making it compulsory for foreigners to take police permission before they apply to buy land,’’ a senior officer adds.

Former Union law minister and Congress leader Ramakant Khalap says foreigners have picked up properties in Morjim, Mandrem, Assagao and Poinguinium using front companies. ‘‘Little can be done to stop them as companies holding the required permissions from the Reserve Bank of India can own properties,’’ says Khalap. Incidentally, not even one Russian is listed among the foreigners legally engaged in business activities in Goa. A starred question by Rajya Sabha MP Shantaram Naik revealed that a total of 197 foreigners were engaged in business in Goa as on December 31, 2004. Of these 85 were from the United Kingdom, 23 from Italy and 21 from Germany.

‘‘The laws should be amended to prevent foreigners from doing business here. Most of them own small businesses and only bring ills to the state,’’ says Naik.

The Nationalist Congress Party which is at the forefront of this campaign has used the Right to Information Act to access details of plots bought by foreigners in North Goa. The records revealed that 50 plots have been bought by foreigners of non-Indian origin in the Bardez taluka alone. More than 40 individuals had purchased land in their own names, while others have formed companies. The beach belt comprising Anjuna, Candolim, Assagao, Saligao and Arpora are apparently the most sought after areas.

NCP Youth Congress president Rajan Ghate says the party wants action against mamlatdars and deputy collectors if provisions of the Foreign Exchange Management Act (FEMA) have been violated.

Meanwhile, the Reserve Bank of India has clarified that nothing can stop a foreign national of non-Indian origin from acquiring an immovable property in India, provided ‘he is a resident of India’ as defined in Section 2(v)(i)(B) of FEMA.

Under the Act a person not only has to satisfy the condition of the period of stay — being more than 182 days during the course of the preceding financial year — but also comply with the condition of the purpose/intention of stay.