The court clarified registration obligations under Section 89(4) of the Registration Act, distinguishing sale certificates from conveyances subject to stamp duty.

JUDGMENT

(Dated this the 24^th day of February, 2026)

The writ petition is filed with the following prayers;

“(i) Issue a writ of mandamus or any other appropriate writ, order or direction, directing the 1st respondent Sub Registrar to accept and file the copies of the sale certificates pertaining to Exhibits P1 and P2 in Book No.1, as mandated under Section 89 (4) of the Registration Act , 1908, without insisting upon payment of stamp duty.

(ii) Grant such other relief(s) as this Hon’ble Court may deem fit and proper in the interest of justice and equity, including costs of the proceedings..

(iii) To issue such other appropriate order or direction dispensing with the filing of English translation of the vernacular documents produced along with the writ petition”.

2. The petitioners are the successful auction purchasers of two items of immovable property sold by the 3^rd respondent Bank in exercise of its statutory powers. The first item of property comprises an extent of 2.25 Ares of land, together with all improvements thereon, situated in Re-survey No. 8, Block No. 323, Nadama Village, Kanayannoor Taluk, which originally belonged to Mr. Jose. The petitioners emerged as the highest bidders in the auction conducted on 23.12.2025 for a sale consideration of ₹1,11,00,000/-, along with 1% TDS as applicable. Consequent upon the confirmation of sale, possession of the scheduled property was handed over to the petitioners.

3. The second item of property comprises an extent of

2.32 Ares of land, together with all improvements thereon, situated in Re-survey No. 8/3, Nadama Village, Kanayannoor Taluk. The petitioners were again the highest bidders in the auction held on 23.12.2025, for a sale consideration of ₹61,50,000/-, along with 1% TDS. Possession of the said property was also duly handed over to the petitioners. Pursuant to the issuance of the sale certificates, the petitioners approached the 2nd respondent Sub Registrar Officer for entering the details of Exhibits P1 and P2 in Book No.1, as mandated under Section 89 (4) of the Registration Act , 1908. However, the 2^nd respondent demanded payment of stamp duty, treating the sale certificates as conveyances liable to stamp duty and registration.

4. The petitioners submit that when a certificate of sale of immovable property is issued by the Recovery Officer of the Debts Recovery Tribunal or by an authorised officer of a Bank or Financial Institution, such certificate cannot be treated as a conveyance liable to stamp duty or is an instrument which is compulsorily registrable. As per Section 89 (4) of the Registration Act , 1908, a copy of the sale certificate is only required to be forwarded to the concerned Sub Registrar for filing in Book No.1. In terms of Section 17 (2)(xii) read with (4) of the , 1908, the Recovery Officer or authorised officer of the Bank is required to hand over the duly validated sale certificate to the auction purchaser and forward a copy of the same to the registering authority. Once such copy is received, the Sub Registrar is statutorily bound to file the same in Book No.1.

4. Regarding the question of payment of stamp duty in a sale certificate, it is now referred to a larger bench in W.A.Nos.1520 & 1823 of 2025 dated 25.08.2025 which is still pending, and it was ordered that in the meanwhile, any sale certificate forwarded by the Bank under Section 89 (4) of the Registration Act shall be incorporated in the Book No.1 either by collecting stamp duty under protest from such auction purchaser or making it as a charge over the property without collecting stamp duty. Option is left to the individual auction purchaser till further decision is taken in the matter by a Full Bench.

Given the above reasons, the petitioner has two options either to pay stamp duty under protest or make a c