SATYAPRAKASH ENTERPRISES Vs. COMMISSIONER OF LAND REVENUE

JUDGEMENT

(1.) The principal queston for decision in this case is whether a Deedof Dissolution of a partnership firm is chargeable to duly under Article 40 to Schedule IA of the Indian Stamp Act as an Instrument of Partition or under Article 41-B of the same Schedule as an Instrument of Diss olution.

(2.) M/s. Satyaprakash Enterprises, a partnership firm consisting of16 partners was dissolved on 27-3-86 by a deed of dissolution ; accounts were taken and assets were distributed among the partners as specified in the Deed. The document was presented for registration before the Sub-Registrar, Gandhinagar, Vijayawada, the third respondent, who received the same, numbered it as P84/86 and referred the matter to the District Registrar, the Second respondent. An order was passed by the District Registrar on the reference on 2-7-87 in the following terms : "Jn view of the clear recitals, the document No. P. 84 of 1986 ot" SRO, Vijayawada in question is held both as a dissolution of partnership and also as partition for Rs. 29,25,000/- falling tinder Section 6 of the I.S. Act, 1899 chargeable with stamp duty as per Art. 40 of Schedule IA to the I.S. Act (Rs. 78,750) (mistake for 87,750). The Sub-Registrar, Vijayawada is requested to take action accordingly."

(3.) Based on that order the third respondent issued a notice on13-10-87 to the petitioner herein, the dissolved firm represented by its Partner P. Prakasha Rao informing :