IN THE HIGH COURT OF KARNATAKA AT BENGALURU
B. VEERAPPA, J.
Savik Vijai Engineering Pvt. Ltd. And Ors. – Petitioners
Versus
BCL Financial Services Private Limited – Respondent
Writ Petition No.65132 of 2016 (GM-CPC)
Decided On : 21-03-2019
Constitution of India,1950 - Article 227 - Criminal Procedure Code,1973 - Section 34 r/w Section 37 - Karnataka Stamp Act, 1957- Pay duty and ten times penalty - Payment of amounts claimed - Plaintiffs filed a suit for recovery of money for a sum together with interest reserving liberty to plaintiffs in event of defendants defaulting in payment of amounts claimed in prayer apply Hon’ble Court for sale of mortgaged immoveable properties described in schedule A to D by public auction or private treaty and to apply sale proceeds realized thereon etc- raising various contentions- defendants filed their written statement denying plaint averments in part and admitting claims in part and sought for dismissal of suit – Held, Petitioners stated supra are that before marking of document if any document comes to notice of Court same has to be impounded in accordance with provisions of Section Karnataka Stamp Act and whether it can be relied upon by a party Stamp Act or not and another judgment is to same effect that as and when party wants to introduce or tender such document in evidence Court has no option but to direct office to calculate stamp duty or deficit thereof payable with penalty of ten times and fix for payment of amount person who wants to produce document to calculate stamp duty or insufficient stamped case in evidence memorandum of understanding has been marked and at time of marking of said document defendants had not raised any objections judgments relied upon by Counsel for petitioners have no application and circumstances of present case- Hence petitioners have not made out any good ground to interfere with impugned order passed by trial Court in exercise of powers Constitution of India Court rejecting application is just and proper- However it is made clear that document insufficiently stamped and admitted in evidence though objection was not raised subsequently does not take away obligation to impound document Karnataka Stamp Act- If it is insufficiently stamped and Court has admitted document while calculating duty and penalty Court can proceed Stamp Act at time of adjudication of suit - Petition disposed
ORDER :
This writ petition is filed by the defendants against the order dated 22.3.2016 passed on I.A.16 in O.S.No.1075/1995 by the 14th Additional City Civil and Sessions Judge at Bangalore dismissing the application filed by them under Section 34 r/w 37 of the Karnataka Stamp Act.
2. The plaintiffs filed a suit for recovery of money for a sum of Rs. 2,10,17,100/- together with interest reserving liberty to the plaintiffs, in the event of the defendants defaulting in payment of the amounts claimed in prayer (i) to apply the Hon’ble Court for the sale of mortgaged immoveable properties described in schedule A to D by public auction or private treaty and to apply the sale proceeds realized thereon, etc., raising various contentions. The defendants filed their written statement denying the plaint averments in part and admitting the claims in part and sought for dismissal of the suit.
3. During the evidence of P.W.1, memorandum of understanding between the parties has been marked as Ex.P.1. Subsequently, the defendants filed an application I.A.16 under Section 34 r/w Section 37 of the Karnataka Stamp Act to impound the document Ex.P.1. The trial Court considering the application and objections, by the impugned order dated 22nd March, 2016 dismissed the application holding that at the time of marking the documents, during the evidence of P.W.1, memorandum of understanding has been marked as Ex.P.1 and at the time of marking the said documents, the defendants had not raised any objections. The judgment relied upon by the learned Counsel for the defendants is not applicable. Therefore, dismissed the application. Hence, the present writ petition is filed.
4. Respondents served and unrepresented.
5. Heard the learned Counsel for the petitioners.
6. Sri Diwakar, learned Counsel for the petitioners contended that Ex.P.1 is an unregistered document which ought not to have been marked in the evidence of P.W.1. and the trial Court ought to have impounded the document under Section 34 of the Karnataka Stamp Act directing the plaintiff to pay the stamp. In support of his contentions, he relied upon the judgments of this Court in the case of Miss Sandra Lesley Anna Bartels – vs. P. Gunavath reported in AIR 2013 Karnataka 52 and Shivaputrappa and Another –vs. Smt. Ningamma and Others reported in ILR 2014 Kar. 4705 and sought to allow the writ petition.
7. Having heard the learned Counsel for the petitioners, it is not in dispute that the respondent plaintiff filed a suit for recovery of a sum of Rs.2,10,17,100/-. It is also not in dispute that during the course of evidence of P.W.1, the memorandum of understanding entered into between the parties has been marked as Ex.P.1. At that time, the defendants though represented through their Counsel did not object for marking of the said document. Once the document is marked without objection, no subsequent objection regarding its marking cannot be gone into and as such, the documents will have to be looked into while deciding the case on merits. My view is fortified by the dictum of this Court in the case of Smt. Savithramma R.C. –vs. M/s. Vijaya Bank and Another reported in ILR 2015 Kar 1984 wherein at paragraphs 3, 6, 7 and 8 it has been held as under:
33. Examination and impounding of instruments.– (1) Every person having by law or consent of parties authority to receive evidence, and every person in-charge of a public office, except an officer of police, before whom any instrument, chargeable in his opinion, with duty, is produced or co
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