JUDGMENT - (1) This is a reference under Section 54 (1) of the Bombay Stamp Act made by the Chief Controlling Revenue Authority. The reference arises under the following circumstances. Four persons namely Govind Parmeshwar Nair, his wife Kartika P. Nair and his two daughters Mrs. Prakashini Govind Kutty Menon and Miss Hayashree Parameshwar Nair purchased a building known as "Nair Mahal" at Tulsipipe Road, Mahim, Bombay, on 30th March, 1960, for a sum of Rs, 2,50,000. On the next dau 31st March 1960 they declared a trust of the said porperty by a document intituled "Declaration of Trust" and executed by the said four settlors. The proper stamp duty payable upon this document is that subject-matter of this reference.

(2) The preamble recites that the settlors had purchased the propoerty with the express desire of declaring a trust thereof subject to the powers and provisions mentioned in the document. It also recites that the settlors already "stand seized , possessed of the said hereditaments and premises hereunder described" Then follow the procisions of the alleged trust which was to be called "G.P. Nair Family Trust" Clause 2 gave authority to the trustees to recover the rens and

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