Shyam Lal Ahirwar vs Director on 30 August, 2010

                                                                                1




                           W.P.No.8598/07

     Shyam Lal Ahirwar                         Director,Bhopal Motors Ltd. & others




     30.8.2010
           Shri Sanjay Dwivedi, Counsel for petitioner.
            This petition is directed against an order dated 15.5.2007 by the
     6th Additional District Judge (Fast Track Court), Sagar in Civil Suit No.2-
     B/2006 by which the trial Court found that document Ex.D.1 was an
     agreement and the stamp duty Rs.10/- paid thereon was sufficient.
            Learned counsel for petitioner submitted that it was not a simple
     agreement but in fact it was an agreement relating to deposit of title-
     deed and for the security of loan and falls within the purview of special
     clause 29 of clause 6 of Schedule-1A of the Indian Stamp Act. It is
     submitted that on the amount of loan, stamp duty at the rate of 2% was
     payable but the trial Court erred in rejecting contention of the petitioner.
            From the perusal of the agreement Annexure P/2, it appears that
     it was an agreement of lease and prima facie it was not an agreement
     for loan repayable in instalments. However, it is a matter of evidence
     and after recording evidence of both parties, nature of document can be
     ascertained by the trial Court.
            In view of aforesaid, at this stage, we observe that the trial Court
     after recording evidence, in the case, shall re-ascertain the nature of the
     document Annexure P/2        and if it is found that it was executed on
     insufficient stamp, the trial Court shall take recourse of law for recovery
     of deficit stamp duty and penalty on the document Annexure P/2
     (produced before the trial Court as Ex.D.1).
            With the aforesaid directions, this petition is finally disposed of
     with no order as to costs.
            C.C. as per rules.


     (Krishn Kumar Lahoti)                                     (S.C.Sinho)
C.          Judge                                                Judge
                                                                      2




                    W.P.No.8598/07

Shyam Lal Ahirwar                    Director,Bhopal Motors Ltd. & others




30.8.2010