BALA PRASAD Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) This petition challenges the validity of R. 3-A of the M.P. Prevention of under Valuation of Instruments Rules, 1975 and the guidelines (Annexure- P/2) issued thereunder and the consequent order (Annexure-p/1) issued by the respondent No. 3.

(2.) A sale deed was executed in favour of the petitioners by Shri Sunder Lal Yadau and Balbhogi Yadav of Satna on 4-4-1994 for consideration of Rs. 1,75,000/-and was presented to Sub-Registrar, Satna, appointed under the Registration Act, for registration. The sub-Registrar, on finding that value of the property sought to be transferred under the instrument was below the average value laid down in the guidelines for the area in question, referred the document for determination of the value and the deficit stamp duty of Rs. 90,186/- and registration charges of Rs. 5,600/- were claimed on its valuation at Rs. 8,75,000/-.

(3.) The Stamp Act, 1899, was amended by M. P. Act No. 8 of 1975 with effect from 15-5-1975 and Section 47-A was inserted in the following form :-