Allowed¶44

The State of Bihar v. Mrs. Nitu Kumari

Patna HC3 Mar 2025L.P.A/595/2024

Case brief

AI extract

What is this about?

Condonation of delay (100 days) in Letters Patent Appeal; mandatory statutory deposit of 50% of deficit stamp duty under Section 47(A)(6) Indian Stamp Act 1899; word 'shall' construed as leaving no waiver discretion; Bihar Registration, Excise and Prohibition Department v. Nitu Kumari; Single Judge's relaxation of deposit to 10% in CWJC No. 17380 of 2023 set aside; Appellate Authority to hear appeal ignoring delay on 50% deposit; Patna High Court, decided 03-03-2025.

What did the court decide?

Appeal allowed: delay of 100 days condoned (I.A. No. 02 of 2024 allowed); the learned Single Judge's judgment dated 29.01.2024 in CWJC No. 17380 of 2023 set aside; Appellate Authority directed to entertain and decide the respondent's appeal within a reasonable time, ignoring the delay, if the respondent deposits 50% of the disputed amount. ¶44

The State of Bihar Vs Mrs. Nitu Kumari — Patna HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the learned Single Judge could lawfully direct the Appellate Authority to hear the respondent's appeal upon deposit of 10%, instead of the mandatory statutory deposit of 50% of the amount payable as deficit stamp duty under Section 47(A)(6) of the Indian Stamp Act, 1899.

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Court's answer

The very usage of the word 'shall' in the statute makes the legislature's intention clear; the requirement must be followed and complied with, leaving no discretion in the authority to waive the statutory deposit of 50% of the amount payable as deficit stamp duty under Section 47(A)(6) of the Indian Stamp Act, 1899.

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Ratio / Principle

I.A. No. 02 of 2024 is allowed; the delay of 100 days in preferring the Letters Patent Appeal is condoned.

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Key takeaways

On that sole ground, the judgment of the learned Single Judge dated 29.01.2024 in CWJC No. 17380 of 2023 is set aside.ratio¶39
If the respondent deposits 50% of the disputed amount, the Appellate Authority shall, ignoring the delay in preferring the appeal, entertain and decide the appeal within a reasonable period of time.ratio¶41

Detailed headnote1 paragraphs

Patna High Court, L.P.A. No. 595 of 2024, decided 03-03-2025 (Division Bench: Ashutosh Kumar, Acting Chief Justice, author; Partha Sarthy, J): Condoning a delay of 100 days, the Court held that the word 'shall' in Section 47(A)(6) of the Indian Stamp Act, 1899 makes the statutory pre-deposit of 50% of the amount payable as deficit stamp duty (computed on the market value determined by the Collector) mandatory, leaving the authority no discretion to waive it. The judgment of the learned Single Judge dated 29.01.2024 in CWJC No. 17380 of 2023, which had permitted the Appellate Authority to hear the respondent's previously dismissed appeal on a deposit of only 10% of the disputed amount, was set aside. The Court directed that if the respondent deposits 50% of the disputed amount, the Appellate Authority shall ignore the delay and entertain and decide her appeal within a reasonable period of time. Appeal allowed to the extent indicated.

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IN THE HIGH COURT OF JUDICATURE AT PATNA

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Letters Patent Appeal No.595 of 2024

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Civil Writ Jurisdiction Case No.17380 of 2023

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The State of Bihar through the Principal Secretary, Registration Excise and Prohibition Dept. (Registration) Government of Bihar, Patna.

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The Principal Secretary, Registration, Excise and Prohibition Department (Registration) Government of Bihar, Patna.

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The Inspector General of Registration, Prohibition Excise and Registration Department (Registration), Government of Bihar, Patna.

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The Assistant Inspector General of Registration, Prohibition Excise and Registration Department (Registration) Bihar, Patna.

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The Assistant Inspector General of Registration, Prohibition, Excise and Registration Department (Registration), Tirhut Division Muzaffarpur, Bihar.

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The District Collector, East Champaran, Motihari.

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The District Sub-Registrar, Registration, East Champaran, Motihari, Bihar.

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That the Certificate Officer, East Champaran, Motihari.

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... ... Appellant/s

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Versus

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Mrs. Nitu Kumari W/o Mr. Rajesh Kumar Motihari, Mohalla Miskat, Thana Motihari, District- Esat Champaran.

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===============	... ... ==============================	Respondent/s =========
Appearance :
For the Appellant/s	: Mr.P.K. Shahi, Advocate General
	Mr. Rewti Kant Raman, Advocate
For the Respondent/s	: Mr.Ranjeet Kumar, Advocate

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Patna High Court L.P.A No.595 of 2024 dt.03-03-2025 2/4

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CORAM: HONOURABLE THE ACTING CHIEF JUSTICE

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and

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HONOURABLE MR. JUSTICE PARTHA SARTHY ORAL JUDGMENT (Per: HONOURABLE THE ACTING CHIEF JUSTICE)

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Date : 03-03-2025

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Re: I.A. No. 02 of 2024

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I.A. No. 02 of 2024 has been filed for condoning

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the delay of 100 days in preferring this appeal.

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For the reasons stated in the I.A. No. 02 of

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2024, the delay of 100 days in preferring this appeal is condoned.

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I.A. No. 02 of 2024 stands allowed.

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Re: L.P.A. No. 595 of 2024

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The learned Single Judge, on noticing that the

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appeal preferred by the respondent was dismissed by the Appellate Authority only on the ground of non-deposit of 50 percent of the disputed amount, directed the Appellate Authority to hear the appeal, subject to the respondent

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depositing 10 percent of the disputed amount.

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The aforenoted judgment has been challenged

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Patna High Court L.P.A No.595 of 2024 dt.03-03-2025 3/4

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in the present appeal on the sole ground that it is in teeth of the mandatory requirement under Section 47(A)(6) of the Indian Stamp Act, 1899 which provides for a prerequisite in the form of a statutory deposit of the 50 percent of the amount payable as deficit stamp duty, chargeable on the market value of the property as determined by the Collector.

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The very usage of the word ‘shall’ in the statute makes the intention of the legislature very clear and the same has to be followed and complied with, leaving no discretion in the authority to waive the same.

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On this very ground, the judgment passed by

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the learned Single Judge dated 29^th of January, 2024 passed in CWJC No. 17380 of 2023 is set aside.

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However, we direct that in case the

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respondent deposits 50 percent of the disputed amount, the Appellate Authority, ignoring the delay in preferring the appeal, shall entertain the appeal and decide the same within a reasonable period of time.

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Patna High Court L.P.A No.595 of 2024 dt.03-03-2025 4/4

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