Case Note & Summary
The petitioner, Armstrong Machine Builders Private Limited, filed a writ petition under Article 226 of the Constitution of India before the Bombay High Court challenging an order dated 09.10.2023 passed by the Office of Inspector General of Registration and Controller of Stamps, Pune. The impugned order reassessed the stamp duty payable on a document executed by the petitioner. The petitioner contended that the order was passed without issuing any show-cause notice and without affording an opportunity of hearing, thereby violating the principles of natural justice. The respondents argued that the petitioner had an alternative remedy of appeal under the Maharashtra Stamp Act, 1958, and therefore the writ petition should not be entertained. The court, after hearing both sides, observed that the petitioner was not served with any show-cause notice and was not given an opportunity of hearing before the impugned order was passed. The court held that the violation of natural justice was apparent on the face of the record. Relying on the settled legal position that the availability of an alternative remedy does not bar the exercise of writ jurisdiction when there is a breach of natural justice, the court allowed the petition. The impugned order was quashed and set aside, and the matter was remanded back to the respondent authority for fresh adjudication after giving a proper opportunity of hearing to the petitioner. The court directed the petitioner to appear before the authority on 10.10.2025 and cooperate in the proceedings.
Headnote
A) Constitutional Law - Writ Jurisdiction - Alternative Remedy - Availability of alternative remedy does not bar writ jurisdiction when there is violation of natural justice - The court held that despite the availability of an appeal under the Maharashtra Stamp Act, the writ petition is maintainable as the impugned order was passed without notice and hearing, violating principles of natural justice (Para 4). B) Stamp Duty - Reassessment - Show-Cause Notice - Service of Notice - Reassessment order without proper service of show-cause notice is unsustainable - The court held that the petitioner was not served with the show-cause notice and was not given an opportunity of hearing, rendering the order dated 09.10.2023 liable to be set aside (Paras 3-4). C) Natural Justice - Right to Hearing - Opportunity of Hearing - Denial of opportunity of hearing vitiates administrative orders - The court held that the impugned order was passed in violation of principles of natural justice as the petitioner was not heard before the reassessment of stamp duty (Paras 3-4).
Issue of Consideration
Whether the impugned order dated 09.10.2023 passed by the Inspector General of Registration and Controller of Stamps, Pune, is sustainable when the petitioner was not served with a show-cause notice and was denied an opportunity of hearing, thereby violating principles of natural justice.
Final Decision
The writ petition is allowed. The impugned order dated 09.10.2023 is quashed and set aside. The matter is remanded back to the respondent authority for fresh adjudication after giving a proper opportunity of hearing to the petitioner. The petitioner is directed to appear before the authority on 10.10.2025 and cooperate in the proceedings.
Law Points
- Natural justice
- Show-cause notice
- Service of notice
- Opportunity of hearing
- Stamp duty reassessment
- Limitation for filing appeal
- Alternative remedy
- Writ jurisdiction
