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2019 Supreme(AP) 123

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
M. SEETHARAMA MURTI, J.
Malkapurapu Venkateswarlu and Ors - Appellant
Versus
M. Nageswara Rao and Ors - Respondent
CRP No. 1395 of 2019
Decided On : 19-06-2019

Advocates:
Advocate Appeared:
For the Appellant : Doddala Yathindra Dev
For the Respondent: Srinivasa Rao Velivela

Headnote:

Code of Civil Procedure, 1908 – Section 151 – Indian Stamp Act, 1899 – Section 38(2) – Suit for partition, defendants 1, 9 to 16 who are resisting suit, filed application requesting to send original document, styled as 'Oppudala Patram' filed along with affidavit filed in lieu of examination in chief of District Registrar, for deciding stamp duty collectable on said document and for collecting deficit stamp duty and penalty, said application resisted by plaintiffs, On merits and by orders impugned in revision –Held, Evidence of transaction affecting immovable property, but it may admitted as evidence of collateral facts, or for any collateral purpose that is for any purpose other than that of creating, declaring, assigning, limiting or extinguishing right to immovable property, first stage of sending the document to the Stamp Duty Collector for ascertaining the nature of the transaction embodied in instrument and collection of deficit stamp duty and penalty, there is no need to go into other aspect as to what could be collateral purpose for which contesting defendants permitted to rely upon document in question, after paying deficit stamp duty and penalty on instrument, as may determined by Stamp Duty Collector, Suffice if it is observed that it is for Trial Court to consider said aspect at appropriate later stage when contesting defendants make request in that regard, after they pay deficit stamp duty and penalty as determined by Collector concerned, when request of present nature is made by party, Court has no option but to send document to Stamp Duty Collector –Petition is allowed. (Para 11A, 11B, 12, 13)

Facts of the case:

Suit for partition, defendants 1, 9 to 16 who are resisting suit, filed application requesting to send original document, styled as 'Oppudala Patram' filed along with affidavit filed in lieu of examination in chief of District Registrar, for deciding stamp duty collectable on said document and for collecting deficit stamp duty and penalty, said application resisted by plaintiffs, On merits and by orders impugned in revision.

Findings of the court:

Evidence of transaction affecting immovable property, but it may admitted as evidence of collateral facts, or for any collateral purpose that is for any purpose other than that of creating, declaring, assigning, limiting or extinguishing right to immovable property, first stage of sending the document to the Stamp Duty Collector for ascertaining the nature of the transaction embodied in instrument and collection of deficit stamp duty and penalty, there is no need to go into other aspect as to what could be collateral purpose for which contesting defendants permitted to rely upon document in question, after paying deficit stamp duty and penalty on instrument, as may determined by Stamp Duty Collector, Suffice if it is observed that it is for Trial Court to consider said aspect at appropriate later stage when contesting defendants make request in that regard, after they pay deficit stamp duty and penalty as determined by Collector concerned, when request of present nature is made by party, Court has no option but to send document to Stamp Duty Collector.

Result: Petition is allowed

ORDER :

M. SEETHARAMA MURTI, J.

1. This civil revision petition, under Article 227 of the Constitution of India, is filed assailing the order, dated 7.2.2019, of the learned Principal Junior Civil Judge, Mangalagiri, passed in IA No. 1575 of 2018 in OS No. 157 of 2014.

2. I have heard the submissions of Sri D. Yathindra Dev, learned Counsel appearing for the revision petitioners-defendants 1, 10 to 16 and of Sri Sreenivasa Rao Velivela, learned Counsel appearing for the respondents 1 to 3-plaintiffs. I have perused the material record.

3. The introductory facts, in brief, are as follows:

In a suit for partition, the defendants 1, 9 to 16 ['the contesting defendants', for short], who are resisting the suit, filed an application under Section 38(2) of the Indian Stamp Act, 1899 read with Section 151 of the Code of Civil Procedure, 1908, ['Code', for short] requesting to send the original document, dated 5.4.2002, styled as 'Oppudala Patram' [acceptance deed], filed alongwith the affidavit filed in lieu of examination in chief of D.W. 2, to the District Registrar, Guntur, for deciding the stamp duty collectable on the said document and for collecting the deficit stamp duty and penalty. The said application was resisted by the plaintiffs. On merits and by the orders impugned in this revision, the Trial Court dismissed the said petition. Hence, the defendants 1, 10 to 16 filed this revision.

4. The case of the contesting defendants in support of the afore-stated request, as stated in the affidavit of the 13th defendant, in brief, is this:

The suit is filed for partition and other reliefs. The contesting defendants are resisting the suit. The suit is posted for hearing arguments. The 13th defendant got filed written arguments through his Counsel. Thereafter, on the application of the plaintiffs, the evidence was reopened. Further evidence was adduced on behalf of the plaintiffs by examining P.W. 2. Thereafter, the suit is again posted for hearing arguments. While discussing the case facts with the Counsel, it is noticed that though the 13th defendant filed, alongwith the affidavit in lieu of examination in chief of the said defendant, a gift agreement letter, dated 5.4.2002, executed by the 1st plaintiff, 12th defendant and others, the said document was not exhibited as it is not duly stamped. The 13th defendant made a representation to the Court that he is prepared to pay the deficit stamp duty and penalty on the said document. Further, a request was made on behalf of the present defendants to collect the stamp duty and penalty and receive the document in evidence and permit them to exhibit the same through the 13th defendant. Hence, the present petition is filed.

5. Per contra, the case of the plaintiffs as stated in the counter of the 2nd plaintiff, in brief, is this:

The material allegations in the affidavit of the 13th defendant, which is filed in support of the petition, are false. Under the gift deed, there is no consideration. There is no prior agreement. It is an out and out gift deed, as it created right, title and interest over immovable property; and, possession was also delivered under the very said document. The said document is a compulsorily registrable document. It is inadmissible in evidence for want of registration. Therefore, no useful purpose would be served if the document is impounded and the stamp duty and penalty collectable on the instrument are collected. The instrument was executed by six persons, as per the recitals in the first paragraph of the instrument. Thumb impressions of executants 7 & 8 were inserted at a later point of time at the bottom of Pages 1 and 2 of the instrument. Since the document in question is not a registered document, though required under law to be registered, it cannot be received in evidence. It is a false document created for the purpose of this case. D.Ws. 1 and 2 stated in their evidence that D.W. 1 purchased item No. 2 of the plaint schedule property from the shareholders by payin

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