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Judgment
8 paragraphs · 403 wordsJagat Narayan, J.—This is a revision application by the plaintiff against an order of the Munsiff, Gangapur holding that the suit pronote is not properly stamped in as much as it bears an adhesive stamp of 10 nP. instead of an impressed stamp.
Under Article 19 of Schedule 1 to the Stamp Act a pro-note upto Rs. 250 in value payable on demand is to be stamped with a stamp of 10 nP. When the value exceeds Rs. 250 but does not exceed Rs. 1000 it is to be stamped with a stamp of 15 nP. If the value exceeds Rs. 1000 it is to be stamped with a stamp of 25 nP. u/s 11(a) of the Stamp Act instruments chargeable with duty not exceeding 10 nP. (except parts of bills of exchange payable otherwise than on demand and drawn in sets) may be stamped with adhesive stamps. The promissory note in suit is of the value of Rs. 150. It is chargeable with stamp duty of 10 np. u/s 11(a) of the Stamp Act, it can be stamped with adhesive stamps.
Rule 6 of the Rajasthan Stamp Rules runs as follows:--
"6. Promissory note and bill of exchange. ---
A promissory note or a bill of exchange shall, except as provided by Section 11 or by Rules 14 and 19, be written on paper on which a stamp of the proper value, with or without the word "hundi", has been engraved or embossed."
From the above rule also it is clear that a promissory note shall be written on impressed stamp except as provided by Section 11, that is, when the value of the promissory note does not exceed Rs. 250 it can be stamped with an adhesive stamp.
Under Rule 14 promissory notes payable on demand, when the value or the amount exceeds Rs. 250 may be stamped with adhesive stamps. It may be pointed out that both Section 11 and rule 14 use the word "may" and not word "shall". That means that a promissory note can always be written on an impressed stamp whatever its value.
The revision application is accordingly allowed, the order of the learned Munsiff is set aside and he is directed to admit the promissory note in evidence and proceed with the suit in accordance with law. The costs of this revision application shall abide the final result in the suit.