Whether document (agreement for sale) seeking registration can still be impounded on account of deficient stamp duty when the same was subsequently cancelled
Amongst other, important issue came up for consideration before the Supreme Court was whether document (agreement for sale) seeking registration can still be impounded on account of deficient stamp duty when the same was subsequently cancelled.
It was argued before the Hon’ble Supreme Court that registering officer cannot impound a document under Section 33 of the Indian Stamp Act, 1899. Disagreeing with the same, it was held that as per Section 33 of the Act every person having, by law or consent of parties authority to receive evidence or every person in charge of a public office is duty bound to impound the instrument when produced before him, and he finds that such an instrument is not duly stamped. It was thus held that the Registering officer can impound the documents under Section 33.
It was further held that mere fact that the parties subsequently cancelled the agreement is no reason for NOT taking action under Section 33 of the Act.
M/s. Tirupati Developers vs. State of Uttarakhand & Others