RATTAN CHAND BIROO RAM Vs. L KHARAITI RAM NAND LAL
HIGH COURT OF PUNJAB AND HARYANA
RATTAN CHAND BIROO RAM
L.KHARAITI RAM NAND LAL
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Kapur, J. -
(1.) The appeal is brought by the defendant against an appellate decree of District Judge, Sher Singh, dated 16-11-1949 reversing the decree of the trial Court and thus decreeing the plaintiff's suit for recovery of Rs. 1,700/- on the basis of a promissory note dated 7-7-1943 executed at Phagwara in the erstwhile Kapurthala State.
(2.) The suit was brought on 23-6-1949 and it is alleged that it is within limitation because of the payment of Rs. 20/- under the signatures of the defendant on 236- 1946. The finding of the learned District Judge is that the document is a promissory note but that there was no presentment although he does not seem to have reversed the finding of the trial Court that Rs. 20/-were paid and are a good acknowledgment under Section 20, Limitation Act.
(3.) The question to be decided in this case is whether the promissory note is properly stamped. It was executed by the defendant, as I have said before, in Phagwara in what was Kapurthala State. At the time it was executed lour one anna British Indian stamps were affixed and cancelled and Mr. Bahri submits that in this case it was necessary that before presentment could be made another four anna stamps should have been affixed and as they were not affixed the promissory note was not properly stamped within the meaning of Section 35, Indian Stamp Act. Section 3 Indian Stamp Act mentions the instruments which are chargeable with duty and Section 3(b) rung as under;
"3. Subject to the provisions of this Act and the exemptions contained in Schedule 1, the following instruments shall be chargeable with duty of the amount indicated in that Schedule as the proper duty there for respectively, that is to say (a) * * * * (b) every bill of exchange (payable otherwise than on demand) or promissory note drawn or made out of India except Part B States on or after that day and accepted or paid, or presented for acceptance or payment, or endorsed, transferred or otherwise negotiated, in India except part B states; * *.";
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