High Court of Judicature at Madras
K. RAVICHANDRABAABU, J.
D.B. Prakashchand Jain & Another
Versus
The Inspector General of Registration, Chennai & Others
W.P. Nos. 23618 & 25268 of 2012 & M.P. Nos. 1, 1 & 2, 2 of 2012
Decided On : 24-02-2014
Registration - Sale Certificate - Indian Stamp Act, 1899, Section 33, 35 - Registration Act, 1908, Section 34 - W.P.No.23618 of 2012, W.P.No.25268 of 2012 - 2007(5) SCC 745, B.ARVIND KUMAR V. GOVT. OF INDIA AND OTHERS - (2010) 155 Comp Cas 549 (Mad), SHREE VIJAYALAKSHMI CHARITABLE TRUST V. SUB-REGISTRAR - The court discussed the requirement of registration for a Sale Certificate issued by the Mumbai Debts Recovery Tribunal and the authority of Registering Officers under the Indian Stamp Act and the Registration Act. It highlighted the interpretation of relevant legal provisions and their influence on the court's decision to set aside the impugned actions and direct the completion of registration of the documents presented by the petitioners.
Fact of the Case:
The petitioners challenged the order of the first respondent directing the impounding of Sale Certificates and collection of deficit stamp duty before completing the registration of Settlement Deeds and Sale Deeds.
Finding of the Court:
The court found that the Sale Certificate issued by the Mumbai Debts Recovery Tribunal does not require registration and the Registering Authorities are not entitled to impound it for payment of deficit stamp duty. The impugned actions were set aside, and the third respondent was directed to complete the registration of the documents presented by the petitioners.
Issues: The issues revolved around the requirement of registration for the Sale Certificate, the authority of Registering Officers to impound documents, and the collection of deficit stamp duty.
Ratio Decidendi: The Sale Certificate does not require registration, and the Registering Authorities cannot impound it for deficit stamp duty. The court relied on the interpretation of relevant legal provisions and previous decisions to reach this conclusion.
Final Decision: The impugned actions were set aside, and the third respondent was directed to complete the registration of the documents presented by the petitioners.
W.P.No.23618 of 2012 is filed challenging the order of the first respondent dated 20.04.2012 and consequently seeking for a direction to the third respondent to complete the registration of document bearing P.Nos.26 to 37 of 2011.
2. W.P.No.25268 of 2012 is filed challenging the order of the first respondent dated 20.04.2012 and consequently seeking for a direction to the third respondent to complete the registration of document bearing P.Nos.20 to 37 of 2011.
3. The case of the petitioner W.P.No.23618 of 2012 is as follows:
The petitioner was the absolute owner of the property, which is subject matter under documents bearing P.Nos.26 to 37 of 2011, having acquired the same in and by the Sale Certificate bearing No.MDRT-1/O.A.179/01/16/2004 dated 26.10.2004, issued by the Mumbai Debts Recovery Tribunal-I, in favour of the petitioner. He also obtained patta bearing No.1048 in his name. He had executed twelve Deeds of Settlement on 14.12.2011 in respect of the said properties in favour of his sons viz., Abilash Jain and P. Mukesh Kumar. Those Settlement Deeds were submitted for registration before the third respondent. The petitioner had paid stamp duty for the above Settlement Deeds along with the registration charges. After completion of all formalities, the Settlement Deeds were assigned P.Nos.26 to 37 of 2011. The petitioner also executed certain sale deeds in favour of one Mr. Ramesh (the petitioner in W.P.No.25268 of 2012) in respect of the said properties. Those sale deeds were assigned P.Nos.20 to 25 of 2011, after due completion of formalities. The third respondent refused to return those deeds by informing that the documents were impounded for improper payment of stamp duty and the second respondent has communicated to the first respondent regarding the same. The first respondent through his order dated 20.04.2012, directed the third respondent to require the production of Sale Certificate, impound the same and collect the deficit stamp duty and until then directed to keep the documents bearing Nos.26 to 37 of 2011 pending registration. The third respondent called upon the petitioner through the impugned communication dated 10.05.2012 to produce the copy of the Certificate of Sale bearing No.MDRT-1/O.A.179/01/16/2004 dated 26.10.2004 and pay the deficit stamp duty.
4. The case of the petitioner in W.P.No.25268 of 2012 is as follows:
Mumbai Debts Recovery Tribunal-I brought the pieces and parcels of the land admeasuring Ac.48.22 cents comprised in several survey numbers situated at Vadakuthu village, Kurinjipadi Taluk, Cuddalore District to sale in public auction in which one D.B. Prakashchand Jain (the petitioner in W.P.No.23618 of 2012) purchased the said property. Mumbai Debts Recovery Tribunal issued Certificate of Sale of immovable property bearing No.MDRT-1/0.A.179/01/16/2004 dated 26.10.2004 in favour of D.B. Prakashchand Jain. The petitioner purchased undivided shares in five portions of the said property by way of absolute sale dated 12.12.2011 from the said person. Those sale deeds were signed by D.B. Prakashchand Jain and the petitioner. The six sale deeds were presented at the office of the third respondent on 14.12.2011 for registration. Necessary registration fees were paid. The first respondent by order dated 20.04.2011 directed the third respondent to require production of the Certificate of Sale, impound the same, collect the deficit stamp duty and until then directed the third respondent to keep the documents pending registration. The third respondent based on the order passed by the first respondent called upon the petitioner to produce the Certificate of Sale and pay the deficit stamp duty. Therefore, the petitioner is challenging the order of the first respondent dated 20.04.2012.
5. A Counter affidavit is filed in W.P.No.25268 of 2012 by the first respondent wherein it is stated as follows:
The Registering Officer should prima facie be satisfied that the document presented before him for registrat
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.