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2005 Supreme(Cal) 419

High Court Of Calcutta
Sadhan Kumar Gupta
RAM SINGH SARAF - Appellant
Versus
STATE OF WEST BENGAL - Respondent
W. P. 21042 Of 2004
Decided On : 07/05/2005

Advocates Appeared:
K.P.Banerjee, Sandip Kumar

The court has the power to interfere and direct the return of an unregistered document along with the stamp duty paid, even in the absence of a specific provision in the Registration Act or the Indian Stamp Act, to prevent injustice and uphold the principles of natural justice.

Headnote:

STAMP DUTY - RETURN OF UNREGISTERED DEED - NO SPECIFIC PROVISION - STAMP DUTY PAID - DEED NOT REGISTERED - REGISTRATION AUTHORITY DIRECTED TO RETURN DEED - ENDS OF JUSTICE WILL BE SERVED - PROVISIONAL REGISTRATION TREATED AS CANCELLED.

Fact of the Case:

Petitioner submitted a deed of gift for registration and paid stamp duty of Rs. 22,520/-. The Additional Registrar of Assurances-II directed a further stamp duty of Rs. 4,57,200/- to be paid before registration. The petitioner abandoned the idea of registration and requested the return of the unregistered document. The Registrar refused and advised the petitioner to file a deed of cancellation. The petitioner filed a writ petition seeking the return of the unregistered deed.

Finding of the Court:

There is no specific provision in the Registration Act or the Indian Stamp Act regarding the return of an unregistered document under the circumstances of the present case. The petitioner paid stamp duty of Rs. 22,520/- and the deed was not registered due to non-payment of the required stamp duty. The deed cannot be the property of the Registering Authority as it was not registered in accordance with law.

Issues: Whether the petitioner is entitled to the return of the unregistered deed of gift along with the stamp duty paid.

Ratio Decidendi: The court held that the ends of justice will be served if the provisional registration of the deed is treated as cancelled and the deed is returned to the petitioner along with the stamp duty affixed to it. The court observed that the Registering Authority's refusal to return the deed is against the principles of natural justice and that the petitioner should be given the opportunity to seek allowance for the spoiled stamps under Section 49 of the Indian Stamp Act.

Final Decision: The writ petition was allowed and the respondents were directed to return the deed in question along with the stamp already affixed with it, treating the provisional registration of the said deed as cancelled.

Sadhan Kumar Gupta

( 1 ) THE case of the writ petitioner is that he submitted a deed of Gift for registration, he being the Donor, in the Office of the Additional Registrar of assurances-II, New Secretariat Building, Calcutta Stamp Duty of Rs. 22,520/-was paid in respect of the said Deed of Gift. In addition to that, the additional Registrar of Assurances-ll before registering the said instrument of transfer, directed that a further stamp duty to the extent of rs. 4,57,200/- was to be paid in respect of the said instrument, before final registration. As the petitioner could not pay such a huge amount of stamp duty, he abandoned the idea of registering the said Deed of Gift and decided not to make any transfer of his property by the said Deed of Gift. Consequently, the petitioner asked for the return of the said unregistered document from the respondent No. 2. But he refused to return the said unregistered instrument and advised the petitioner to file a deed of cancellation in respect of the said unregistered Deed of Gift. Being dissatisfied with the decision of the Registrar, the petitioner submitted series of representations to the respondents requesting them to return back his unregistered Deed of Gift. But the respondent authorities did not take any action. As the respondents did not take any step on the basis of his representation in that respect so finding no other alternative, the petitioner has filed this writ application praying for directing the respondent authorities to immediately return back the said unregistered Deed of Gift in his favour.

( 2 ) I have heard the submissions of the learned Advocate for the petitioner and the Learned Advocate for the State. Both of them conceded that there is no specific provision either in the Registration Act or in the indian Stamp Act regarding the return of the document in question under the circumstances of the present case. But the fact remains that the petitioner submitted a Deed of Gift before the registering authority for the purpose of registration and at that time he paid stamp duty to the extent of Rs. 22,520/ -. But the said Deed of Gift was not registered on the ground that further stamp duty to the extent of Rs. 4,57,200/- was required to be paid by the petitioner. The petitioner, as it appears from the writ petition, thereafter decided not to register the said Deed of Gift as he was unable to pay such a huge amount of stamp duty, which was required to be paid in accordance with law. For that reason, he prayed for return of the document. But the registrar concern did not return the same presumably on the ground that once it has been presented for registration, it cannot be returned to the present or as there is no such provision in the Registration Act. But simply because there is no such provision in the Act itself, it cannot be said that for that reason only the petitioner will be deprived of getting back his deed in question. There are provisions on the Registration Act regarding the steps that are to be taken in respect of an unclaimed document or when for reasons to be recorded the Registrar decided not to register a particular document. Fact remains that for the said deed, a stamp duty valued at Rs. 22,250/- has been paid and as the petitioner is not in a position to pay the balance stamp duty, so the stamp duty already paid, has been spoilt. Unless and until the document is registered with the registering authority, it cannot be said that it is the property of the said authority. A document is presented before the registering Authority for the purpose of registration and if the formalities are complete and necessary stamp duty is paid, then and then only the registrar can direct for registration of the said document an consequently the said document becomes the property of the said department and it will be preserved accordingly, as provided in the Registration Act. But so far as the present case is concerned, it appears that admittedly said document was not r

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