Reference, Revision and Appeal

Sub-section (2): on failure to produce the original, the Authority proceeds on the true copy or abstract filed with the Collector under section 31 or section 37(2), and that copy or abstract is deemed to be the original for the purposes of the section.

This is the section that qualifies the finality of adjudication. Section 32(3) says an adjudicated instrument is deemed duly stamped, but it says so subject to section 53A, and section 53A gives the Authority six years to reopen an under-charge. So a student who says the Collector's certificate is conclusive must add that qualification.

Sections 54 to 57: reference to the High Court

Section 54: the case stated. The Chief Controlling Revenue Authority may state a case:

(a) referred to it under section 53(2); (b) on an application by a party interested, made within what the Authority considers a reasonable period, raising a substantial question of law; or (c) otherwise coming to its notice;

and refer it, formulating the precise question with its own opinion on it, to the High Court.

Sub-section (2): every such case is to be decided by not less than three judges of the High Court.

Section 55: further particulars. If the High Court is not satisfied that the statements in the case are sufficient to enable it to determine the question, it may refer the case back to the Revenue Authority to make such additions or alterations as it directs.

Section 56: disposal. The High Court, on hearing the case, shall decide the question raised and deliver judgment containing the grounds of its decision, and send a copy under seal and the Registrar's signature to the Chief Controlling Revenue Authority, who shall dispose of the case conformably to the judgment.

Section 57: references by other Courts. If any Court other than the High Court feels doubt as to the amount of duty to be paid in respect of an instrument under clause (a) of the proviso to section 34, the Judge may draw up a statement of the case and refer it, with his own opinion, for the decision of the High Court.

The High Court then deals with it as if referred under section 54, and sends copies to the Chief Controlling Revenue Authority and to the referring Judge, who disposes of the case conformably. A reference by a Court subordinate to a District Court is made through the District Court, and by a subordinate Revenue Court through the Court immediately superior.

Section 57 is the practical link back to [Impounding of Instruments, and Admissibility in Evidence]: it is the route a trial judge uses when he cannot decide how much duty and penalty to demand before admitting a document.

Section 58: revision of Court decisions on sufficiency of stamps

Section 58 provides for the revision of certain decisions of Courts regarding the sufficiency of stamps. Where a Court has, under section 35, admitted an instrument on the footing that it was duly stamped or not chargeable, the section provides the machinery by which that decision may be examined, the Chief Controlling Revenue Authority being entitled to have the question considered notwithstanding that the admission cannot be questioned inter partes.

The point of the section is that section 35 protects the parties from reopening the question in the same proceeding, but it does not protect the revenue. Section 58 keeps the Government's interest alive.

How the three routes differ

Appeal, section 53(1A): by an aggrieved party, against an order of the Collector, to the Chief Controlling Revenue Authority, within sixty days, on a fee of three hundred rupees. The Authority's order is final.

Revision, section 53A: by the Chief Controlling Revenue Authority on its own initiative, against an under-charge or a holding of non-chargeability by the Collector, within six years, to recover the deficit.

Reference, sections 54 and 57: on a question of law, to the High Court, stated either by the Chief Controlling Revenue Authority or by a Court in doubt about the duty under the proviso to section 34, and decided by not less than three judges.

A worked example

Nitin's conveyance is adjudicated and the Collector certifies under section 32 that the full duty has been paid.

The Collector had also made an order against Nitin under Chapter V refusing an allowance. Nitin may appeal to the Chief Controlling Revenue Authority under section 53(1A), within sixty days of receiving the order, in writing, with a fee of three hundred rupees. The Authority hears both sides and its order is final.

Four years later the Authority discovers the instrument was charged with less duty than leviable. Under section 53A it may, within six years of the certificate, require Nitin to produce the instrument, hear him, and order recovery of the deficit, endorsing the instrument on payment.

Nitin has lost the original. Under section 53A(2) the Authority proceeds on the true copy or abstract filed with the Collector, which is deemed to be the original.

A question of law arises about the Article under which the deed falls. Nitin may apply to the Authority to state a case under section 54(b), raising a substantial question of law; the Authority formulates the precise question with its own opinion and refers it to the High Court, where not less than three judges decide it.

Change the setting. Suppose instead a trial judge, faced with the deed in evidence, cannot decide how much duty and penalty to require under proviso (a) to section 34. He may state a case under section 57 and refer it to the High Court, and must then dispose of the matter conformably to its judgment.

The Collector's order in a section 32A market-value reference. That is outside section 53's control by the proviso, and the remedy is the appeal under section 32B.

What it does NOT mean

The Collector's certificate is not conclusive. Section 32(3) is expressly subject to section 53A, which allows six years to reopen an under-charge.

The Chief Controlling Revenue Authority's order is final, but not immune. A question of law may still go to the High Court by a stated case.

Section 53 does not cover market-value orders under section 32A. Those go to section 32B.

A reference is not an appeal. It decides a question of law stated by the Authority or a Court, not the merits at a party's instance.

Section 35 does not protect the revenue. It stops the parties reopening the stamp point in the same proceeding; section 58 preserves the Government's position.

Not every judge may refer. A Court subordinate to a District Court refers through it, and a subordinate Revenue Court through the Court immediately superior.

Distinctions

Quick revision

• s.53(1): the Collector's powers under Chapters III, IV and V are subject to the control of the Chief Controlling Revenue Authority, except an order determining true market value under s.32A, which goes to s.32B.
• s.53(1A): appeal to that Authority within sixty days of receipt, in writing, with a fee of three hundred rupees; the Authority hears the parties and its order is final.
• s.53A: the Authority may, within six years of a certificate under s.32, 39 or 41, reopen an under-charge or a holding of non-chargeability, hear the party, and recover the deficit; on failure to produce the original, the copy or abstract is deemed the original.
• s.54: the Authority may state a case to the High Court, on a reference under s.53(2), on a party's application raising a substantial question of law, or on a matter otherwise coming to its notice; three judges at least.
• s.55 further particulars; s.56 the High Court decides and the Authority disposes conformably; s.57 a Court in doubt as to duty under proviso (a) to s.34 may state a case, subordinate Courts referring through their superior.
• s.58: the revenue's position on the sufficiency of stamps is preserved notwithstanding s.35.

Test yourself

1. Within what time, and on what fee, does an appeal lie to the Chief Controlling Revenue Authority? Within sixty days from the date of receipt of the Collector's order, by an application in writing accompanied by a fee of three hundred rupees.

2. Is the Collector's certificate under section 32 conclusive? No. Section 32(3) is expressed to be subject to section 53A, under which the Chief Controlling Revenue Authority may, within six years of the certificate, reopen an under-charge or a holding of non-chargeability and recover the deficit duty.

3. What happens if the party cannot produce the original instrument in a section 53A proceeding? The Authority proceeds on the true copy or abstract filed with the Collector under section 31 or section 37(2), and that copy or abstract is deemed to be the original for the purposes of the section.

4. On what grounds may the Chief Controlling Revenue Authority state a case to the High Court? On a reference to it under section 53(2); on the application of a party interested raising a substantial question of law; or on a matter otherwise coming to its notice. It must formulate the precise question and give its own opinion.

5. By how many judges is such a case decided? By not less than three judges of the High Court.

6. When may a Court other than the High Court state a case? Where it feels doubt as to the amount of duty to be paid in respect of an instrument under clause (a) of the proviso to section 34. A Court subordinate to a District Court refers through the District Court, and a subordinate Revenue Court through the Court immediately superior.

7. Which orders of the Collector are outside the control in section 53(1)? An order of the Collector of the District determining the true market value of the immovable property which is the subject matter of an instrument referred under section 32A(1), the remedy for which is an appeal under section 32B.