HARINDER SINGH Vs. STATE OF PUNJAB

JUDGEMENT

(1.) CHALLENGE in the present writ petition is to the order passed by the District Collector, Sangrur, on 24.1.2007 (Annexure P3) and order in appeal dated 2.1.2008 (Annexure P5) in the proceedings initiated against the petitioner under Section 47-A of the Indian Stamp Act, 1899 (hereinafter referred to as "the Act").

(2.) THE Authorities under the Act found that the instrument of sale dated 6.9.2008 is undervalued and, therefore, the petitioner has been called upon to make good the deficiency in stamp duty as per the market value assessed as per the Collector's rate.

(3.) WE do not find any merit in the argument raised by the petitioner. Under section 47-A(1) of the Act, the Collector is required to determine the market value of such property and demand stamp duty if the market value set forth in the instrument is less than the minimum value as determined in accordance with the Rules made under the Act. In other words, sub-section (1) contemplates that market value determined shall not be less than the minimum rate fixed in terms of the Rules made under the Act. The Punjab Stamp (Dealing of Undervalued Instruments) Rules, 1983 were amended on 23.08.2002 when Rule 3-A was inserted. After insertion of such rule, the Collector's rate has been given statutory recognition. Therefore, the enquiry contemplated under sub- sections (2) and (3) of Section 47-A of the Act is in respect of market value more than the minimum market value determined under the Rules. Thus, there is no consistency in sub-sections (1), (2) and (3) of Section 47-A of the Act.