Enemy Property:
The central government has begun the auction of enemy properties. Enemy properties are those whose owners have become citizens of Pakistan or China.
According to the central government, there are 12,611 properties across the country declared as enemy properties. Their combined value is estimated to exceed one trillion rupees.
The protection of enemy property is managed by the Custodian of Enemy Property for India (CEPI). Currently, these 12,611 properties are immovable.
The Magnitude of Enemy Property:
- In India, 12,611 properties have been declared as enemy property, with an estimated value exceeding one trillion rupees.
- Out of these, 12,485 properties belong to Pakistani citizens, while 126 belong to Chinese citizens.
- Uttar Pradesh has the highest number with 6,255 enemy properties, followed by 4,088 in West Bengal. The national capital, Delhi, accounts for 659 enemy properties.
Understanding Enemy Property:
- When two countries are at war, the government seizes the property of citizens from the enemy country to prevent them from using it during the conflict.
- During World War I and II, the United States and the United Kingdom similarly seized properties belonging to German citizens.
- India seized properties of Chinese citizens during the 1962 China-India war and of Pakistani citizens during the 1965 and 1971 wars under the Defense of India Act.
- Enemy property can include land, houses, gold, jewelry, company shares, and any other property owned by citizens of enemy countries.
- To date, the government has earned 3,400 crores from the sale of enemy properties, most of which have been movable assets like gold.
How Will These Enemy Properties Be Sold?
- According to the Ministry of Home Affairs, the eviction process will be initiated with the help of the District Magistrate or Commissioner before selling any enemy property.
- For enemy properties valued at less than one crore rupees, CEPI will offer the property first to the current occupant. If declined, the property will be dealt with according to the ministry's guidelines.
- For properties valued between one crore and 100 crores, they will be disposed of through e-auction, using the services of Metal Scrap Trade Corporation Limited.
The Enemy Property Act:
- The Enemy Property Act came into force in 1968 after the 1965 India-Pakistan war and has undergone several amendments. The most significant amendment occurred in 2017.
- This amendment expanded the scope of enemy property to include not just the assets of enemy country citizens but also their descendants and heirs, even if they are Indian citizens.
- The amendment also empowered the government to sell enemy properties, which was previously restricted. Additionally, it designated the Custodian as the owner of enemy properties, effective from 1968.
- Moreover, if an Indian citizen purchases enemy property, it cannot be passed on to heirs as inheritance. For instance, if a father buys enemy property, his children cannot claim it.
