Bombay High Court Allows Appeal Against Impounding of Photocopy of Tenancy Agreement for Collateral Purpose. Photocopy of Unstamped Agreement Cannot Be Impounded Under Section 34 of Maharashtra Stamp Act, 1958.

High Court: Bombay High Court Bench: NAGPUR In Favour of Prosecution
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Case Note & Summary

The case involves two writ petitions arising from a civil suit for eviction filed by the original plaintiff (Dr. Smt. Seema Arun Mankar) against the original defendant No.1 (Shri Pradeep Shyamrao Kakirwar) and others in the Small Causes Court at Nagpur. The defendant No.1 sought to rely on a photocopy of an agreement of tenancy dated 26/10/1999, which was unstamped. The trial court rejected the document, but on appeal, the District Judge-5, Nagpur, in Miscellaneous Civil Application No. 208 of 2019, allowed the appeal and directed that the photocopy be impounded for payment of stamp duty and penalty, and thereafter exhibited for collateral purpose. Both parties challenged this order: the plaintiff in Writ Petition No. 7175/2019 and the defendant No.1 in Writ Petition No. 8245/2019. The High Court examined the provisions of the Maharashtra Stamp Act, 1958, particularly Section 34, which deals with impounding of instruments. The court held that the power to impound under Section 34 applies only to original instruments, not to photocopies. Since the document in question was a photocopy of an unstamped agreement, it could not be impounded. The court further held that for a document to be admitted for collateral purpose, the original must be duly stamped. As the original was not produced and the photocopy was of an unstamped document, the order of the District Judge was set aside. The court allowed the plaintiff's writ petition and dismissed the defendant's writ petition, restoring the trial court's order rejecting the document.

Headnote

A) Stamp Act - Impounding of Document - Photocopy of Unstamped Agreement - Section 34 of Maharashtra Stamp Act, 1958 - The court considered whether a photocopy of an unstamped agreement of tenancy can be impounded and admitted for collateral purpose. Held that a photocopy of an unstamped document cannot be impounded under Section 34 of the Maharashtra Stamp Act, 1958, as the provision applies only to original instruments. The document can be admitted for collateral purpose only if the original is duly stamped. (Paras 2-10)

B) Evidence Act - Secondary Evidence - Admissibility of Photocopy - Section 63 of Indian Evidence Act, 1872 - The court examined the admissibility of a photocopy as secondary evidence. Held that a photocopy of an unstamped document cannot be admitted for collateral purpose unless the original is proved to be duly stamped. The court set aside the order of the District Judge allowing impounding of the photocopy. (Paras 8-10)

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Issue of Consideration

Whether a photocopy of an unstamped agreement of tenancy can be impounded and admitted for collateral purpose under the Maharashtra Stamp Act, 1958?

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Final Decision

The High Court allowed Writ Petition No. 7175/2019 (filed by the plaintiff) and dismissed Writ Petition No. 8245/2019 (filed by the defendant). The order of the District Judge dated 03/10/2019 was set aside, and the order of the trial court rejecting the document was restored.

Law Points

  • Impounding of document
  • Stamp duty
  • Collateral purpose
  • Photocopy of unstamped agreement
  • Section 34 of Maharashtra Stamp Act
  • 1958
  • Section 35 of Indian Stamp Act
  • 1899
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Case Details

2020 LawText (BOM) (04) 23

Writ Petition No. 8245 of 2019 and Writ Petition No. 7175 of 2019

2020-04-27

Manish Pitale, J.

Mr. S.S. Sitani (for petitioner in WP 8245/2019 and respondent No.1 in WP 7175/2019), Mr. Fidvi Abib (for respondents No.2 & 3 in WP 8245/2019), Mr. G.B. Sawal (for petitioner in WP 7175/2019), Mr. Fidvi I. Abid (for respondents No.2 and 3 in WP 7175/2019)

Shri Pradeep Shyamrao Kakirwar (in WP 8245/2019) and Dr. Smt. Seema Arun Mankar (in WP 7175/2019)

Dr. Smt. Seema Arun Mankar and others (in WP 8245/2019) and Shri Pradeep Shyamrao Kakirwar and others (in WP 7175/2019)

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Nature of Litigation

Civil writ petitions challenging an order of the District Judge allowing impounding of a photocopy of an unstamped tenancy agreement for collateral purpose.

Remedy Sought

The plaintiff sought to set aside the order allowing impounding of the photocopy; the defendant sought to uphold the order.

Filing Reason

The District Judge allowed the appeal of the defendant No.1 and directed impounding of a photocopy of an unstamped agreement of tenancy for collateral purpose.

Previous Decisions

The trial court (Small Causes Court) had rejected the document; the District Judge in appeal allowed it to be impounded and exhibited for collateral purpose.

Issues

Whether a photocopy of an unstamped agreement can be impounded under Section 34 of the Maharashtra Stamp Act, 1958? Whether such a photocopy can be admitted for collateral purpose?

Submissions/Arguments

The plaintiff argued that a photocopy of an unstamped document cannot be impounded as Section 34 applies only to original instruments. The defendant argued that the document could be impounded and admitted for collateral purpose.

Ratio Decidendi

A photocopy of an unstamped instrument cannot be impounded under Section 34 of the Maharashtra Stamp Act, 1958, as the provision applies only to original instruments. For a document to be admitted for collateral purpose, the original must be duly stamped. A photocopy of an unstamped document cannot be admitted for any purpose.

Judgment Excerpts

The power to impound under Section 34 of the Maharashtra Stamp Act, 1958 applies only to original instruments, not to photocopies. A photocopy of an unstamped document cannot be admitted for collateral purpose unless the original is duly stamped.

Procedural History

The original plaintiff filed Regular Civil Suit No. 277/2011 in the Small Causes Court at Nagpur for eviction. The defendant No.1 sought to rely on a photocopy of an unstamped agreement of tenancy dated 26/10/1999. The trial court rejected the document. The defendant No.1 filed Miscellaneous Civil Application No. 208 of 2019 before the District Judge-5, Nagpur, which was allowed on 03/10/2019, directing impounding of the photocopy for stamp duty and penalty and exhibition for collateral purpose. Both parties filed writ petitions in the High Court challenging this order.

Acts & Sections

  • Maharashtra Stamp Act, 1958: Section 34
  • Indian Evidence Act, 1872: Section 63
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High Court Bombay High Court Allows Appeal Against Impounding of Photocopy of Tenancy Agreement for Collateral Purpose. Photocopy of Unstamped Agreement Cannot Be Impounded Under Section 34 of Maharashtra Stamp Act, 1958.
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