SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

1959 Supreme(Raj) 72

Rajasthan High Court
Bhandari, J.
Raghunath Prasad - Appellant
Versus
Seth Mangi Lal - Respondents
S.B. Civil Revision No. 31 of 1957
Decided On : March 06, 1959

Advocates Appeared:
P.N. Dutt, for Petitioner; C.B. Bhargava, for Opposite Party.

Headnote:(a) Stamp Act, Sec. 2 (22)—Promissory note—Document executed in Bahi and not stating rate of interest.(b) Negotiable Instruments Act, Sec. 4—Certain sum—Rate of interest not mentioned in document.

       Document contained in a Bahi runs thus;—

       "Account one of Raghunath Prasadji Silawat of Jaipur.

       Rs 30167/4/6 carried forward as balance due under the old account, Miti 1st Baisakh badi 2nd Svt. 2010. Dated 2.4.53. (Sd.) Raghunath Prasad Silawat.

       Balance due after understanding the account. Whenever Mangi Lalji Naiwala demands the same. I shall pay with interest. (Sd.) Raghunath Prasad in his own handwriting Dated 2.3.53." (Para 5)

       Held that in determining the nature of an instrument under the Stamp Act it is not permissible to import any extrinsic evidence to remove any vagueness relating to the certainty of the amount payable under it. The document is not a promissory note as the sum payable under it is not certain as required under sec. 4 of the Negotiable Instruments Act as the rate of interest is not Specified. (Paras 10 and 14)

       Being executed in a Bahi it cannot be taken out of it without tearing the leaf and it cannot be transferred in order to be negotiable under sec. 14 of the Negotiable Instruments Act Here is a document which satisfies all the ingredients of the definition of promissory note under sec. 4 of the Negotiable Instruments Act but which the parties never intended to be negotiable by delivery. Such document cannot be a promissory note within the meaning of the Negotiable Instruments Act. The document is more in the nature of a settlement of account between the parties with a promise to pay. Such a document cannot fall within the definition of promissory note under the Stamp Act. (Paras 17 and 20)

Bhandari, J.—This is a revision application on behalf of Raghunath Prasad defendant against the order of the Senior Civil Judge, Jaipur City, dated the 9th of January, 1957 holding that the document dated the 2nd of April, 1953 executed by the defendant in favour of the plaintiff Mangilal was not a promissory note but was an agreement and could be admitted in evidence after the payment of penalty. The defendant made an application to the trial court that he wanted to file a revision application in this Court and that the document may not be admitted in evidence and it has not yet been admitted in evidence.

2. I am very doubtful whether a revision application against the order determining the nature of the document for the purpose of the Stamp Act can be filed under sec. 115 of the Civil Procedure Code. There is no question of jurisdiction involved in this case as the learned Senior Civil Judge had jurisdiction to decide the nature of the document for the purpose of the Stamp Act. As to the application of sub-sec. (c) of sec. 115, there are series of decisions of their Lordships to the Privy Council which all lay down the law that if a court has jurisdiction to decide a case and even if it decided wrongly,it cannot be said that it has exercised jurisdiction illegally or with material irregularity. Reference in this connection may be made to the cases of Rajah Amir Hassan Khan vs. Sheo Baksh Singh (1), Balakrishna Udayar vs. Vasudeva Aiyar (2), N.S. Venkatagiri Ayyenger vs. Hindu Religious Endowments Board, Madras (3) and Joy Chand Lal Babu vs. Kamlaksha Chaudhury (4). In Joy Chands case (4) it was pointed out that an error in decision of the subordinate court does not by itself involve that the subordinate court had acted illegally or with material irregularity so as to justify interference in revision under sub-sec. (c) of sec. 115 but if, as a result of such error in the decision the subordinate court exercised a jurisdiction not vested in it by law or failed to exercise jurisdiction so vested a case for revision under sub-sec. (a) or sub-sec. (b) may arise. Their Lordships of the Supreme Court also considered sec. 115 C.P.C. in the case of Keshardeo Chamria vs. Radha Kissen Chamria (5) and after citing the Privy Council cases, referred to the case of Nagpur High Court in the case of Narayan Sonaji vs. Sheshrao Vithoba (6), wherein it was said that the words illegally do not cover either errors of fact or law. Their Lordships further observed as follows:—

"They do not refer to the decision arrived at but to the manner in which it is reached The errors contemplated relate to material defects of procedure and not to errors of either law or fact after the formalities which the law prescribes have been complied with."

3. The above authorities in my humble opinion clearly lay down the limits under which sec. 115 C.P.C. can be applied. As pointed out in Balakrishna Udayars case (2) this sec. is nor directed against the conclusions of law or fact in which the question of jurisdiction is not involved. But there is an authority of this Court in the case of Sahu Brijraj Sharan vs. Sahu Raghunandan Sharan (7) in which such a revision application was entertained and accepted. I do not think it is open to me sitting as a single Judge to take a contrary view. I also do not think that I should refer the matter to a larger bench as in my view the revision application fails on merits.

4. I, therefore, proceed to decide the revision application on merits.

5. Translated into English the relevant portion of the document runs thus:—

"Account one of Reghunath Prasadji Silawat of Jaipur

Rs. 30167/4/6 carried forward as balance due under the old account, Mitti 1st Baisakh Badi 2nd Svt. 2010 Dated 2.4.53 (Sd) RaghuNath Prasad Silawat.

Balance due after understanding the account. Whenever Mangilalji Naiwala demands the same, I shall pay with interest. (Sd) Raghu Nath Prasad in his own handwriting. Dated 2.3.53."

This document is contained in the Khata Bahi. Th










































Click Here to Read the rest of this document

1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top