M. Peyapandian vs The Sub-Registrar, Checkanoorani and The Special Deputy Collector (Stamps)

G. Rajasuria, J.—These writ petition have been filed to direct the respondents to return the Registered Sale Deeds in Document No. 332/05 dated 28.04.2005 and 2536/07 dated 12.12.2007 on the file of the Respondent No. 1 to the petitioner.

Heard the learned Counsel for the petitioner and also Mr. D. Sasikumar, learned Government Advocate, who took notice on behalf of the respondents.

The grievance of the petitioner as found set out in the affidavits accompanying the writ petitions would run thus:

The petitioner got the sale deed registered as Document Nos. 332/05 and 2536/07. However the registering authority withheld the documents on the ground that they were not properly stamped.

The learned Counsel appearing for the petitioner placing reliance on the decision of this Court in B. Rajappa and Anr. v. The Special Deputy Collector (Stamps), Madras and Ors. reported in 2002(3) CTC 544, would develop his arguments that irrespective of the action that would be taken by the authorities concerned for collection of the deficit stamp duty, they have to return the documents. An excerpt from the said precedent would run thus:

While appreciating the anxiety expressed on behalf of the State by the learned Advocate General, this Court directs that:

i) It is open to the Registering Authority to affix a seal, while releasing the original deed or conveyance or any other document indicating that a reference is pending u/s 47-A with respect to under-valuation and assessment of Stamp Duty payable, as and when the proceedings reach finality, the same shall be intimated to the person who is liable to pay stamp duty demanding payment of deficit Stamp Duty payable on the instrument.

ii) The Registrar to make corresponding entries under Sections 54, 55 of the Registration Act, 1908, in the Register of indexes as to pendency of proceedings u/s 47-a.

iii) On completion of adjudication as to the under-valuation by the competent authority as well as appeal or revision, if any, thereof, and depending upon the ultimate decision, the said authorities to recover deficit stamp duty according to law.

iv) Till such proceeding reaches finality and deficit is paid, there will be a charge for the deficit stamp duty, which is the subject matter of transfer or conveyance.

v) On payment of deficit stamp duty, if any payable, the Registrar may once again, on production of the original deed of transfer, make appropriate entry and recording the additional stamp duty paid and release of charge and also make consequential entries in the registers/indexes maintained under Sections 54, 55, etc., of the Registration Act.

Since, there is earlier decision of this Court, on a similar issue, I am of the considered opinion that these petitions have to be allowed and accordingly the respondent No. 1 viz., The Sub-Registrar, Checkanoorani, Madurai District is directed to release the documents to the petitioner by making necessary endorsements as it is found indicated in the cited decision supra.