Allied acts.bose

Allied Acts

Shankar Bose, IITMSTU, Puri

Transfer of Property Act Transfer of Property Act 18821882

Transfer of Property Act 1882 Sec.3 Definitions Instrument means a non-testamentary instrument. Actionable claim means a claim to any debt notbeing a debt secured by mortgage of immovableproperty or by hypothecation or pledge of movableproperty, which the Civil Courts recognize as affordinggrounds for relief.

Transfer of Property Act 1882Transfer of Property Act 1882

Sec. 14 Rule against perpetuity.

No transfer of property can operate to create an interest which is to take effect after the life time or one or more persons living at the date of such transfer and the minority, of some persons who shall be in existence at the expiration or that period and to whom if he attains full age, the interest created is to belong.


Sec. 19 Vested interest.

Where on a transfer of property, an interest therein is created in favour or a person without specifying the time when it is to take effect or in terms of specifying that it is to take effect forthwith or on the happening of an event, such interest is called vested interest. A vested interest is not defeated by the death of the transferee before he obtains possession.


Sec. 21 Contingent interest.- Where, on a transfer of property, an interest is

created in favour of a person to take effect only on the happening / non happening of a specified uncertain event, such person thereby acquires a contingent interest in the property. Such interest becomes vested interest in the former case on the happening and in the later case when the happening of the event becomes impossible.


Sec. 100 Charge. Where any immovable property of one person by act of parties or operation of law, is made security for payment of money to another and the transaction does not amount to mortgage, the latter person is said to have a charge on the property.


Sec. 118 Exchange. When two persons mutually transfer ownership of

two things and both things not being money, the transfer is called exchange. Reciprocal giving and receiving one in consideration of another which is offered in exchange of another.


Sec. 122 Gift. Gift is the transfer of certain existing movable or immovable property made voluntarily, without consideration by one person called donor, to another called donee,and accepted by the donee.

Sec. 128 Universal donee. Where a gift consists of owner’s whole property,

the donee is personally liable for the debts and liabilities of the donor at the time of the gift to the extent of the property comprised therein.


Sec. 54. Sale is a transfer of ownership in exchange for a price paid or promised or part paid or part promised.

A contract for the sale of immovable property is a contract that a sale of immovable property shall take place on terms settled between the parties. However a contact for sale does not create any interest of charge on such property.


Sec. 55. In the absence of a contract to the contrary the buyer and seller of immovable property respectively have the rights and liabilities as following :

Liabilities of the Seller(a) The seller is bound to disclose to the buyer any material defect in the property or in the seller’s title which the seller is but the buyer is not aware.


(b) to produce to the buyer on his request for examination the documents of title of the seller.

(c) To answer to the best of his information all relevant questions put to him by the buyer in respect of the property.

(d) On payment of the amount of price to execute a proper conveyance of the property.


(e) The seller should protect the property and the documents of title between the contract of sale and delivery of the property to give the possession of the property to the buyer.

(f) To pay all public charges and rent accrued due interest payment on all encumbrances on such property till the date of sale.


Liabilities of the buyer. (a) The buyer is bound to disclose to the seller

any fact known to him but not to the seller, which may increase the value of the property.

(b) to pay the purchase money to the seller.


Rights of the seller. (a) The seller is entitled to the rents and profits of

the property till the ownership passes to the buyer.

(b) If the property passes on part payment the seller is entitled to receive the balance amount u/s Sec.53A.


Rights of the buyer. (a) the buyer is entitled to the rent and profits in

respects of the property after it is came to his possession.

(b) the buyer is entitled to a charge on the property against the purchase money paid.


Sec. 53A. Where in case of a transfer of any immovable property the transferee has, in part performance of the contract, taken possession of the property or part thereof, then even if the conveyance has not been registered or the transfer has not been completed, the transferor shall be debarred from enforcing against the transferee, claiming any right in the property of which the transferee has taken possession.


Sec. 58(a) Mortgage is transfer of interest in specific immovable property for the purpose of securing the payment of money advanced or to be advanced, by way of loan, an existing or future debt or the performance of an engagement which may give rise to pecuniary liability.


• The transferor is called the mortgagor.

• The transferee – mortgagee.

• The principal money along with interest of which payment is secured is called mortgage money.

• The deed by which transfer is effected is called mortgage deed.


Sec. 58(b) Types if mortgage. Simple mortgage is effected without delivering the

possession of the mortgaged property to the mortgagee, and the mortgagor binds himself personally to pay the mortgage money along with interest and also agrees that in the event of failure to pay, the mortgagee shall have the right to cause the mortgaged property sold and apply the proceeds towards payment of the mortgage money. This is called simple mortgagee.


Sec.58(c) Mortgage by Conditional Sale: - In such case the mortgagor sells the property with the condition that if he pays the mortgage money within the stipulated period the sale would become void and the mortgagee will re-transfer the property to the mortgagor.

Alternatively in case of default by the mortgagor, the sale will become absolute.


Sec.58(d).Usufructuary Mortgage. : -Where the mortgagor delivers possession of the

property to the mortgagee and authorizes him to retain the possession of such property and to receive the rents and interests and to appropriate the same towards partly payment of interest or mortgage money such transaction is called usufructuary mortgage.

•


Sec.58(e).English Mortgage.Where the mortgagor binds himself to repay the mortgage money on a certain date and transfers the mortgaged property to the mortgagee, subject to condition that the mortgagee will retransfer the property to the mortgagor on payment of the mortgage money such transaction is called English Mortgage.


Sec.58(f). Mortgage by deposit of title deed. Where the mortgagor delivers the documents of

his title to an immovable property to the mortgagee with intention to create a security thereon, such transaction is called mortgage by depositing title deed. This is also called equitable mortgage. This applicable in Metros and such other towns as the State Govts. may notify.


Sec. 58(g). Anomalous mortgage. A mortgage which cannot be termed as any

of the five mortgages is called Anomalous mortgage.


Sec.105. Lease A lease or immovable property is transfer or right

to enjoy such property made for a certain period or in perpetuity in consideration of a price period or promised, or of money or of crops or any other thing of value to be rendered periodically or on specified occasions to the transferor by the transferee.


The transferor is called lessor.Transferee – Lessee.The price – premium.Money, share, etc. called rent.

Sec.108.Rights and liabilities of lessor and lessee. (a) Lessor is bound to disclose to the lessee any

material defect in the property which is lessor is aware of but the lessee is not.


(b)The lessor is bound to give possession or theproperty to the lessee.(c)The lessor is bound to allow the lessee tohold the property during the lease periodprovided the lessee pays rent and performsaccording to the contract of the Lease.


(d) If the property is damaged considerablyby natural calamities etc. beyond anybody’scontrol then lease shall be void at the optionsof the lessee. (e) If the lessor does not make any repair tothe property which he is bound to do, the lessee if he desires can make such repair and deduct theexpenses of such repair from lease rent.


(f) If lessee makes any payment of lessor’sliability, he may adjust such payment from thelease rent payable.(g) The lessee if attaches certain things to thelease property during period he may remove itwithin that period. (h) In the event of termination of lease, exceptfor the fault of the lessee, the lessee is entitled to all crops .


(i) The lessee is bound to pay at the propertime and place the premium or rent to the lessor.(j) The lessee is bound to keep and restore theproperty in good condition excepting normal

depreciation.

(k) The lessee is bound to inform the lessor about

any proceedings against the property taken by

Any outside agency.


(l) The lessee must not without lessor’s consent

erect on the property any permanent structure,

except for agricultural purpose.

(m) On termination of lease the lessee must

transfer back the property to the lessee.

Thank You

Indian Registration Act, 1908 Sec. 17(1). Documents of which registration is compulsory. (a) Instrument of gift of immovable property. (b) Other non-testamentary Instrument which,

transfers, whether in present or in future, any right, title or interest whether vested or contingent of the value of one hundred rupees or more in respect of immovable property.

Indian Registration Act, Indian Registration Act, 19081908


(c)Non-testamentary instrument which acknowledgesthe receipt or payment of any consideration onaccount of transfer of any such right tile or interest.

(d) leases of immovable property from year to year orany term exceeding one year or reserving a yearlyrent.


(e) Non-testamentary instrument transferring anydecree or order of a court granting, whether inpresent in future any right, title or interest whethervested or contingent of the value of one hundredrupees or more in respect of immovable property.

Sec.17.Proviso: State Govt. may exempt any leaseexecuted in any district for a term not exceeding 5years and annual rent not exceeding Rs.50/-.

•


Sec. 18. Documents of which registration is optional

(a) Instruments (other than that of gift or will) transferring whether in present or in future any right, title or interest whether contingent or vested of a value less than one hundred rupees in respect of any immovable property.

(b) Instruments acknowledging receipt of payment of any consideration on account of transfer of any such right title or interest.


(c) Lease of immovable property for any term not exceeding one year or leases exempted u/s.17.

(d) Instruments transferring any decree or order of a court granting, whether in present or in future any right title or interest whether contingent or vested of a value less than one hundred rupees in respect of an immovable property.


Sec 42. Of the deposit of wills.Any testator may either personally or through A.R.deposit with any Registrar his will in a sealed coversuperscribed with testator’s name.

Sec.43. Procedure on deposit of wills. The Registrar, if satisfied that it is properly presented,shall transcribe the superscription in Register BookNo.5. He shall note on the book and on the cover, thetime and date of such presentation and also names ofpersons who may testify the testator.


Sec-44.Withdrawal of Sealed Cover. The testator may apply to the Registrar for

withdrawal of the same and the Registrar, if satisfied that the applicant is the testator himself, shall deliver the cover accordingly.

Sec-45. Procedure on depositor’s death. After the death of testator, on an application made in this behalf, if the Registrar is satisfied that the testator is dead he shall open the cover in the presence of the applicants and cause the contents thereof copied on Register Book No.-3 and re-deposit the will.


Sec 47. Date from which the registered document operates. A registered document shall operate from the

date from which it would have commenced to operate, if no registration was required and not from the date of registration.

Sec.49 . Non-registration of a document which requires compulsory registration u/s.17 renders it invalid and inadmissible as evidence.


Sec.23. Every documents shall be presented for registration within four months of its execution. Sec. 24. Documents signed by several persons at different times may be presented for registration within four months of each execution.


Sec. 25. In case any document is not presented for registration within four months due to unavoidable reasons, the Registrar may condone the delay and allow registration within another four months on payment of a fine not exceeding ten times of the proper registration fee.


Sec. 26. Documents executed by all the parties outside India, may be accepted by the registering authority if he is satisfied that it has been executed outside India but has been presented within four months of its arrival in India.

Sec. 28 Place for registration. Every document relating to immovable property must be

registered with the jurisdictional Sub-Register or Registrar.

Indian Trust Act, 1882Indian Trust Act, 1882

INDIAN TRUST ACT 1982 Sec. 3. TRUST is an obligation annexed to the

ownership of property, arising out of confidence reposed in and accepted by the owner or declared and accepted by him for the benefit of another or another and the owner.


• (i) The person who reposes or declares the confidence is called the Author of the Trust or settler.

• (ii) The person who accepts the confidence is called the Trustee.

• (iii) The person for whose benefit the confidence is accepted is called beneficiary.

• (iv) The subject matter of the trust is called the Trust Property or Trust money.


Sec 4. Lawful purpose A trust may be created for lawful purpose. Thepurpose of a trust is unlawful in the following cases:

(i) If it is forbidden by law.(ii) If the trust is fraudulent.(iii) If the trust involves injury to the person or

property of another. (iv) The court regards it as immoral or opposed

to public utility.


A trust with unlawful purpose is always void. However when a trust is having both lawful and unlawful purposes and two purposes cannot be separated the whole trust is void.


Sec.5. To create a valid trust of immovable property it must be declared by will of the author or by non-testamentary instrument in writing signed by the author or trustee and registered.However in respect of movable property, the trust must be declared by a non-testamentary instrument and the ownership of the property is transferred to the trustee.


Sec 6 Creation of trust : A trust is created when the author indicates with reasonable certainly by any words or acts.

(i) An intention to create a trust. (ii) The purpose of the trust. (iii) Who are the beneficiaries. (iv) Identify the trust property and (v) Transfers the trust property to the trustee.


Sec.19. Trustee is bound to keep clear and accurate accounts of the trust property and furnish full and accurate information as to the amount and state of trust property to the beneficiary.

Sec .23.Liability or breach of trust. If the trustee commits breach of trust he is

liable to make good the loss sustained by the trust property or beneficiary along with interest.


Trustee will be liable in the following cases:• (i) Where he has actually received interest.• (ii) Where there is unreasonable delay in paying

trust money to the beneficiary.• (iii) Where the trustee ought to have received

interest by has not done so.


This will not apply if,• (i) The beneficiary has by fraud induced the

trustee to commit such breach• (ii) Beneficiary, being competent to contract, has

himself concurred in the breach.


Sec 68 Revocation of trust A trust created by will may be revoked at the pleasure of the testator. A trust created otherwise may be revoked in the following cases: Where all the beneficiaries are competent to

contract , by their consent.


Sec 68 Revocation of trust Where a trust has been declared by a non-

testamentary instrument–in exercise of power of revocation expressly reserved to the author.

Where a trust is created for the payment of debts of the author and has not been communicated to the creditors – at the pleasure of the author.


Sec. 77. Trust how extinguished

• (i)When its purpose is completely fulfilled, or• (ii)When its purpose become unlawful, or• (iii)When fulfilment of its purpose become

impossible by destruction of the Trust property, or • (iv)When trust being revocable, expressly revoked.

Hindu Succession Act 1956Hindu Succession Act 1956

Hindu Succession Act 1956Section 2 : Application This Act applies to the Hindus, Virashiba,Lingayat, Brahmo, Arya Samaj, Buddhist, Jain, Sikh or any one not being a MuslimChristian, Jew Parsi or S.T.


Sec. 3. Definitions.(a)Agnate: Two persons are agnates if they are

related by blood or adoption through males. (c) Cognate : Two persons are cognates if they

are related by blood or adoption not wholly through males.

(d) Full blood: Two persons are said to be related by full blood if they are descendants from a common ancestor by same wife.


(e) Half blood: if they are descendants from same ancestor by different wives.

(f) Two persons are said to be related to each other by uterine blood if they are descendants from same ancestress by different husbands.

(g) Intestate: A person may be said to have died intestate in respect of property of which he or she has not made any testamentary disposition capable of taking effect.


Sec.8. General Rules of Succession in case ofmales. The property of a male Hindu dyingintestate will devolve as following:(a)Firstly upon, the heirs, being the relativesSpecified in Class I of the Schedule.


(b) If there is no heir in Class I, upon the heirs, beingrelatives specified in Class II of the schedule.(c) If there is no heirs of the two classes, on theAgnates of the deceased.(d) If there is no agnate, then on the cognates.


Schedule- Class-ISon, daughter, widow, mother, son of a predeceased son, daughter of a predeceased son, son of a predeceased daughter, daughter of a predeceased daughter, widow of a predeceased son, son of a predeceased son of a predeceased son, daughter of a predeceased son of a predeceased son, widow of a predeceased son of a predeceased son.


Class-II1. Father2. Son’s daughter’s son, son’s daughter’s daughter,

brother, sister.3. Daughter’s son’s son, daughter son’s daughter,

daughter’s daughter’s son.4. Brother’s son, sister’s son, brother’s daughter,

sister’s daughter.5. Father’s father, father’s mother.6. Father’s widow, brother’s widow.7. Father’s brother, father’s sister.8. Mother’s father, mother’s mother.9. Mother’s brothers, mother’s sister.


Sec.15(1). In case of Female Hindu dyingintestate, property will devolve as following :(a)Firstly upon the sons & daughters includingchildren of any predeceased son, and the husband.(b)Secondly upon the heirs of the husband.(c)Thirdly upon the mother & father.(d)Fourthly upon the heirs of the father.(e) Lastly upon the heirs of the mother.


2(a) Properly inherited from parents shall firstdevolve on (1)(a) and then on heirs of father.(b) Property inherited from husband or father inlaw will first devolve as (1)(a) and then heirs ofhusband.Sec.20 Child at womb at the time of intestate’s deathwill have the same right as if born before the deathof the intestate.Sec. 30 But testamentary succession will be as perIndian Succession Act.

Indian Succession Act 1925Indian Succession Act 1925

The Indian Succession Act 1925. Sec. 4 Applicable to all Indians except Hindu, Muslim, Buddhist, Sikh or Jaina.

Sec. 2 (a) Administrator means a person appointed by competent authority to administer the estate of a deceased person when there is no executor.


(b) ‘Codicil’ means an instrument made in relation to will and explaining, altering or adding to its dispositions and shall be deemed to form part of the will.

(c) “Executor” means a person to whom the execution of the last will of a deceased is, by the testator’s appointment confided.


(d)Minor means any person subject to the Indian

Majority Act, 1875, who has not attained his

majority within the meaning of that Act, and any

other person who has not completed the age of

eighteen years.

‘Minority’ means the status of such person.


(e) “Probate” means the copy of a will certified under the seal of a court of competent jurisdiction with a grant of administration to the estate of the testator.

(f) “Will” means legal declaration of the intention of a testator with respect to his property which he desires to be carried into effect after his death.


Sec.-59 Person capable of making wills:Every person of sound mind not being a minor, may

dispose of his property by will.

Explanation 1.- A married woman may dispose by

will of any property which she is capable of alienating

during her life.

Explanation 2. Persons who are deaf, dumb or blind

but not incapacitated for making a will, if they know

what they do by it.


Explanation 3. – A person who is ordinarily insane may make a will during an interval in which he is of sound mind.

Explanation 4.- No person can make a will while he is in such a state of mind, whether arising from intoxication or from illness or from any other cause, that he does not know what he is doing.


Sec. 62. A will may be revoked or altered by itsmaker at any time when he is competent to disposeof his property by will.Sec. 63 Execution of unprivileged wills:Every testator, not being a soldier or an airman or amariner at sea, shall execute his will according to he following rules :-(a) The testator shall sign thewill, or it shall be signed by some other person in hispresence by his direction.


(b) The signature of the testator, or the person signing for him, shall be so placed that it shall appear that it was intended thereby to give effect to the writing as a will.

(c) The will shall be attested by two or more witnesses, each of whom has seen the testator or the authorised person signing the will, in the presence and by the direction of the testator, and each of the witnesses shall sign the will in the presence of the testator.


Sec. 65.Privileged wills :Any soldier being employed in an expedition or engaged in actual warfare, or an airman or any mariner being at sea, so employed or engaged may, if he has completed the age of eighteen years, dispose of his property by a will made in the manner provided in section 66. Such wills are called privileged wills.


Sec. 66 Mode of making, and rules for executing, privileged wills:

(1) Privileged wills may be in writing, or may be made by word of mouth.

(2) The execution of privileged wills shall be governed by the following rules :-

(a) The will may be written wholly by the testator, with his own hand. In such case it need not be signed or attested.


(b) It may be written wholly or in part by another

person and signed by the testator. In such case it

need not be attested.

(c) If the instrument purporting to be a will is

written wholly or in part by another person and is

not signed by the testator, it shall be deemed to be

his will; if it is shown that it was written at the

testator’s directions or he recognizes it as his will.


(d) If it appears on the face of the instrument that

the execution of it in the manner intended by the

testator was not completed, the instrument shall

not, by that reason, be invalid, provided that his

non-execution of it can be reasonably ascribed to

some cause other than the abandonment of the

testamentary intensions expressed in the will.


(e) If the soldier, airman or mariner has writteninstructions for the preparation of his will, but hasdied before it could be prepared and executed, suchinstructions shall be considered to constitute his will. (f) If he has, in the presence of two witnesses, givenverbal instructions for the preparation of his will, andthey have been reduced into writing in his lifetime,but he has died before the instrument could beprepared and executed, such instructions shall beconsidered to constitute his will.


(g) The soldier, airman or mariner may make a will be word of mouth by declaring his intentions before two witnesses present at the same time.

(h) A will made by word of mouth shall be null at the expiration of one month after the testator, being still alive, has ceased to be entitled to make a privileged will.(Retirement or otherwise)


Sec-70.Revocation of unprivileged will or codicil.No unprivileged will or codicil, nor any part thereof

shall be revoked otherwise than by marriage, or by

another will or codicil, or by writing declaring an

intention to revoke the same or by burning, tearing or

destroying the same by the testator with the intention

of revoking the same.

Thank YouThank You

General Clauses Act 1897General Clauses Act 1897

Ajit Kumar KhanAjit Kumar Khan Deputy DirectorDeputy Director

Definitions. Sec.3(1): Abet, with its grammatical variation and

cognate expressions, shall have the same meaning as in the Indian Penal Code.

Sec.3(3):Affidavit shall include affirmation and declaration in the case of persons by law

allowed to affirm or declare instead of swearing.Sec.3(14).Commissioner means the chief officer-in-

charge of the revenue administration of a division.

Sec.3(21).Financial year means the year commencing on 1st. day of April.


Sec.3(35). Month means a month as per British calendar.

Sec.3(37) .Oath shall include affirmation and declaration of persons by law allowed to

affirm or declare instead of swearing.

Sec.3(38): Offence shall mean any act or omission made punishable by any law for the time being

in force.Sec.3(66). Year shall mean a year as per British calendar.


Sec. 5: Coming into operation of enactments :

Where any Central Act is not expressed to come into operation on particular day, then it shall come into operation on the day on which it receives the assent of the President. Unless contrary is expressed, a Central Act or Regulation will come into operation on expiration of the day preceding its commencement.


Sec.9-Commencement and termination of time.

In any central act it shall be sufficient, for the purposeof excluding the first in a series of days to use theWord “from” and for the purpose of including the lastin a series of days to use the word “to”.


Sec.10-Computation of time.

Where by any Central Act, any act or proceeding isdirected or allowed to be done or taken in any courtor office on a certain day or within a prescribedperiod, then, if the court or the office is closed on thatday or the last day of the prescribed day, the act orthe proceeding shall be considered as done or taken indue time if it is done or taken on the next day, onwhich the court or office is open.


Sec.11: Measurement of distances: In the measurement of any distance, for the

purpose of any Central Act or Regulation, made after commencement of this Act, that distance shall, unless a different intention appears, be measured in a straight line or on a horizontal place.


Sec.13- Gender and number. In all Central Acts , unless there is anything repugnantin the subject or context,1. Words importing the masculine gender will includefemales, and2. Words in the singular shall include the plural andvice versa.


Sec.20 : Construction of notifications, etc. issued under enactments :

Where by any Central Act or Regulation a power to issue notification, order, scheme, rule, form or bye-law is conferred, then expressions used in the said notifications, orders, etc., if it is made after commencement of this Act, shall unless there is anything repugnant to the subject or context, have the same respective meanings as in the Act or Regulation conferring the power.


Sec.26- Offences punishable under two or more acts.

Where an act or omission constitutes an offenceunder two or more enactments, then the offendershall be liable to be prosecuted and punished undereither or any of those enactments, but shall not beliable to be punished twice for the same offence.


Section 27 Meaning of Service by Post.

Where any Central Act or Regulation authorises or requires any document to be served by post, then the service will be deemed to be effected, by properly addressing, pre-paying and posting by registered post, a letter containing the document and unless contrary is proved, to have been effected at the time at which the letter would be delivered in the ordinary course of post.


Thank You

Stamp Act 1899 Proper stamp duty payable on different

instruments and agreements are laid down in the schedule-I to the Indian Stamp Act, 1899. The schedule also lays down the instruments which are exempted from stamp duty. As many as 65 items of instruments are covered in the schedule along with exemption.

Stamp Act 1899Stamp Act 1899

Sec2(14) Instrument includes every document by which any right or liability is transferred.

Sec 2(15) Instrument of partition means any instrument by which co-owners of any property divide or agree to divide such property and also includes an order by revenue authority or court or arbitrator effecting partition.


Sec 2(24) Settlement means any non-testamentary instrument of movable or immovable property made in writing in consideration of marriage or for distributing property of the settler among his family members or other desired persons or for any religious or charitable purposes.


Sec-10- Except otherwise provided in this Act, all duties with which any instruments are chargeable, shall be paid by means of stamps. Certain instruments are to be stamped with adhesive stamps (Sec – 11) and those adhesive stamps used, shall be cancelled so that they can not be used again ( Sec -12 ).


Sec. 29 : Duties by whom payable.In absence of any contrary agreement stamp duty will be payable by the following persons :-(i)Administration Bond, Agreement relating todeposit of title deeds, Security Bond, Bill Deed,Settlement, Transfer of shares – by personsdrawing such instrument.


(ii) Insurance policies other than fire insurance –by the person effecting the policy. (iii) In case of fire insurance policy – by the

person issuing the policy.(iv) In case of conveyance by the grantee.


(v) In case of a lease by the lessee.(vi) In case of exchange by the parties in

equal shares.(vii) In case of Certificate of sale – by the

purchaser.(viii) In case of partition – by the parties

proportionate to their share.


Sec-35 Instruments not duly stamped not admissible in evidence.

No instruments chargeable with duty shall be admitted in evidence for any purpose by any person having , by law or consent of parties, authority to receive evidence, or shall be acted upon, registered or authenticated by any such person or by any public officer unless such instrument is duty stamped.


The Court Fee Act 1870.This Act lays down court fees payable in different courts and public offices on different documents filed. Court fees payable has been given in Schedule I, II & III.

Court Fee Act, 1870Court Fee Act, 1870


Sec – 6 Fees on document filed in Mofussil Courts and Public offices.No documents of any of the kinds specified as chargeable in Schedule I & II to this Act shall be filed, exhibited or recorded in any Court of Justice or shall be received or furnished by any public officer, unless in respect of such documents there be paid a fee of an amount not less than that indicated by either of the said Schedules as proper fee for such document.

Sec-7 Lays down the mode of computation of fees payable in certain suits.

Sec-19-Exempts as many as 34 documents from payment of court fee.


LIMITATION ACT, 1963

Ajit Kumar KhanDy Director (Trg)

Sec. 2(j) Period of limitation means the period of limitation prescribed for any suit, appeal or application by the schedule to the Act and prescribed period means the period of limitation computed according to this act. Sec.3(1) Bar of limitation – Subject to the provisions of sections 4 to 24 of this Act, every suit instituted, appeal preferred and application made after the prescribed period shall be dismissed.

Period prescribed in Schedule to the Act. (a) Three years for a suit relating to

accounts, contracts, decrees, movable property, recovery under a contract etc.

(b) Twelve years for suits relating to possession of immovable property and thirty years for mortgaged property.

(c) Three years for compensation in some cases.

(d) 30 to 90 days in case of appeals under Civil Procedure Code and Criminal Procedure Code.

Sec. 4: If court is closed on last day of limitation then suit, appeal or application can be filed on next day when Court reopens. (Section-10 of the General Clauses Act,1897)

Sec. 9: If a person , entitled to file a suit or make application, was disabled (minor or insane), the period of limitation will start after the disability is removed.

For filing appeals against any judgment, if

limitation is provided in any statute, that will prevail.

Computation of period of limitation. (a) First day or day of judgment is to be

excluded. Sec. 12(1). (b) Time for getting copy of judgment or decree

or order or award (against which appeal has to be filed is to be excluded. Sec. 12(3).

Computation of period of limitation (c) Period of stay or injunction will be excluded.

Sec. 15(1). (d) If consent or sanction of Government is

required for filing suit or application or notice is to be given to Government , the period spent in obtaining the consent or sanction or time in giving notice is excluded. Sec. 15(2).

Sec. 18: Effect of acknowledgment in writing If an acknowledgment of liability in respect

of any property or right is obtained in writing duly signed by the party against whom such property or right is claimed, before the expiration of period of limitation, a fresh period of limitation shall be computed from date of acknowledgment. That is why Banks and Financial Institutions obtain confirmation of balance every year.

INDIAN OATHS ACT, 1969

Sec. 3 : Power to administer oaths: (1) The following Courts and persons shall

have power to administer oaths and affirmations by themselves or subject to the provisions of Sec.6(2), by an officer empowered by them in this behalf.

(a) all courts and persons having by law authority to receive evidence.

(b) the Commanding officer of any Military, Naval or Air force station, provided that the oath or affirmation is administered within the limits of the station.

(2) Any court, judge, Magistrate or person may administer oaths and affirmation for the purpose of affidavit, if empowered,

(a) by the High Court, in respect of affidavit for the purpose of judicial proceedings, (b) by the State Govt. in respect of other affidavits.

Sec.4 : Oaths or affirmation shall be made by witnesses, interpreters and jurors.

•All witnesses who may lawfully be examined or be required to give evidence before any court or person having by law or consent of parties authority to examine such persons or to receive evidence.

• Interpreter of questions put to and evidence and the Jurors.

These provisions will not apply to a witness being a child below the age of 12, if the Court is of the opinion that though the witness may understand the duty of speaking truth, he may not understand the nature of an oath or affirmation. In such cases absence of oath or affirmation shall not render the evidence given by such witness inadmissible.

Sec.6 Forms of oaths and affirmation: (1) All oaths and affirmation shall be

administered as per forms given in the schedule as may be appropriate to the circumstances of the case.

(2) All such oaths and affirmation shall in the case of all courts other than Supreme Court and High Courts be administered by the Presiding Officer of the Court himself or in the case of a Bench of judges or Magistrates, by one of the judges or Magistrates.

Sec.8: Persons giving evidence bound to state the truth:

Every person giving evidence on any subject before any Court or any person authorized to administer oaths and affirmation shall be bound to state the truth on the subject.

INDIAN EVIDENCE ACT, 1872

Sec.3 Interpretation clause. • Court includes all Judges and Magistrates and all

other persons except arbitrators, legally authorized to take evidence.

• Fact means and includes- (a) anything, state of things, or relation of

things, capable of being perceived by senses, (b) any mental condition of which any person is

conscious,

• Facts in issue means and includes any fact from which either by itself or in connection with other facts, the existence or non existence, nature or extent of any right, liability or disability, asserted or denied in any suit or proceeding necessarily follows.

• Document means any matter expressed or described upon any substance by means of letter, figures, or marks or by more than one of those means, used or intended to be used for recording that matter.

• Evidence means and includes : - (1) all statements which the court permits or

requires to be made by witnesses before it in relation to matters of fact under enquiry. Such statements are called oral evidence.

(2) all documents produced for inspection of the court are called documentary evidence.

• Proved: A fact is said to be proved when after considering the matters before it, the court either believes it to exist, or considers its existence so probable that a prudent man ought to act upon the supposition that it exists.

• Disproved: The court believes that it does not exist.

• Not proved: Neither proved nor disproved.

• May presume: If it is provided that the court may presume a fact then the court may either regard such act as proved unless and until it is disproved or the court may call for proof of it.

• Shall presume: Here the court shall presume a fact as proved unless and until it is disproved.

• Conclusive proof: When one fact is declared by this Act to be conclusive proof of another, the court shall on proof of one fact regard the other as proved and shall not allow evidence to be given for disproving it.

• Rules of proof in civil cases: A mere preponderance of probability, due regard had to the burden of proof, is a sufficient basis of decision.

• Rules of proof in criminal cases: Onus of proving everything essential to the

establishment of the charge against the accused lies on the prosecutor. Evidence must be such as to exclude to a moral certainty every reasonable doubt of the guilt of the accused. In matters of doubt it is safer to acquit than to condemn.

Sec.60: Oral evidence must be direct. Oral evidence in all cases must be direct. if it

refers to a fact which could be seen, it must be the evidence of a witness who has seen it, if it refers to a fact which could be heard, the witness must have heard it, if it refers to an opinion or to the grounds on which the opinion is held, it must be evidence of a person who holds opinion on those grounds.

Sec.61: Proof of contents of documents. Contents of documents may be proved either

by primary or by secondary evidence.

Sec.62: Primary evidence Primary evidence means the document itself

produced for inspection of the court.

Sec.63: Secondary evidence means and includes : • Certified copies• Copies made from the original by mechanical

process, which ensures accuracy of the copy.• Copies made from and compared with original.• Oral accounts of the contents of a document

given by some person who has seen it.

Sec.64: Proof of documents by primary evidence:Documents, barring some exceptions, must beproved by primary evidence.Sec.101: Burden of Proof : Whoever desires anycourt to give judgment as to any legal right orliability dependant on the existence of facts whichHe asserts , must prove that those facts exist.When a person is bound to prove the existence ofa fact, the burden of proof lies on that person.

Sec.102: On whom burden of proof lies: The burden of proof in a suit or proceeding

lies on that person who would fail if no evidence at all were given on either side.

Sec.103: Burden of Proof as to particular fact: Burden of proof of any particular fact lies on

that person who wishes the court to believe in its existence, unless the law provides that proof of the fact shall be on the other person.

Sec.114: Court may presume existence of certain facts:

The court may presume the existence of any fact which it thinks likely to have happened, regard being had to the common course of natural events, human conduct and public and private business in their relation to the facts of a particular case.

Sec.115: Estoppel: When one person has, by his declaration, act

or omission, intentionally caused or permitted another person to believe a thing to be true and to act upon such belief, neither he nor his representative shall be allowed, in any suit or proceeding between himself and such other person, to deny the truth of that thing.

• Sec.137 Examination-in-chief : The examination of witness by the party who

calls it shall be called his examination in chief.• Cross examination: The examination of the witness by the adverse

party shall be called his cross examination.• Re-examination: The examination of a witness by the party who

called him subsequent to the cross-examination shall be called his re-examination.

Sec.141: Leading questions Any question suggesting the answer which the

person putting it wishes or expects to receive is called a leading question.

Sec.142: When they must not be asked. Leading questions must not be asked in an

examination-in-chief, if objected by the other party, or in a re-examination, except with the permission of the court. However, they may be asked which are introductory, undisputed or sufficiently proved.

Sec.143: Leading questions may be asked in cross examination.

Sec.146: Questions lawful in cross-examination: When a witness is cross examined, he may be asked any question which tend

- to test his veracity,- to discover identity and his position in

life.

THE LIMITED LIABILITY PARTNERSHIP ACT, 2008

Ajit Kumar KhanDy. Director (Trg)

Sec. 3A. LLP is a body corporate formed and incorporate under this act and is a separate legal entity separate from its partners. It will have perpetual succession. Any change in the partners shall not effect the existence, rights or liabilities of the LLP.

Sec. 4 The Indian Partnership Act-1932 shall

not apply to LLP. Sec. 6 Every LLP shall have at least two

partners.

Sec.7 Every LLP shall have at least two designated partners, being individuals and at least one of them is resident in India. The selection and tenure of designated partner will be according to the incorporation document and with his consent. Every designated partner shall obtain a DPIN from Central Govt. as per Companies Act 1956.

Sec.8 A designated partner shall be responsible for the doing of all acts, matters and things including filing of any document, return, statement and also be liable to all penalties imposed on LLP for any Contravention of the provisions. Such contraventions are punishable with fines.

Sec. 11 The incorporation document shall be in prescribed from stating forth such particulars as may be prescribed. The LLP must be registered.

Sec. 23 The mutual rights and liabilities of

the partners will be governed by the LLP agreement.

Sec. 26 Every partner is agent of the LLP itself

and not agent of other partners. Sec. 27 An obligation of the LLP, whether

arising out of contract or otherwise shall solely be the obligation of LLP and shall be met by the LLP.

Sec. 34 The LLP shall maintain such books of accounts and other records as may be prescribed and file annual return to the Register within 6 months from the closure of its financial year.

Sec. 42 The rights of a partner to share the

profit or losses are transferable either wholly or in part.

Sec. 35 A firm may convert into LLP as per the

2nd Schedule.

Sec. 56 A private company may also convert

into LLP as per 3rd Schedule.

Sec. 57 An unlisted public Company may also convert into LLP as per the 4th Schedule.

Sec. 63 LLP may be wound up voluntarily or by Tribunal.

Taxation of LLP, w.e.f. 01.04.2010

Sec.2(23) -Firm shall include LLP and partner shall include partner of LLP.

Sec. 140 - Return to be signed by a designated partner and in his absence by any partner.

Sec. 167C - If tax due from any LLP in liquidation can not be recovered , then the partners of suchLLP will be severally and jointly liable for paymentof such tax, unless he proves that non- recovery cannot be attributed to any gross neglect or breach ofduty on his part in relation to the affairs of the LLP.

FEMA,1999 & HAWALA.

Ajit Kumar KhanDy. Director (Trg.)

Sec.2(c).Authorized person meansan authorized dealer, money changeror any person authorized u/s.10(1) todeal in foreign exchange or securities.

AD-I, Banks ,all activities.AD-II, Only buy and sell F.E.AD-III, Hotels of repute.

FEMA 1999FEMA 1999

Sec.2(e) Capital account transactionis a transaction that alters the assetsor liabilities outside India of a residentIndian or assets and liabilities in Indiaof a non-resident Indian.

FEMA 1999FEMA 1999

Sec.6 Capital account transaction. Any person may sell or draw foreignexchange to or from any authorizedperson for a capital account transaction.It is transfer of capital against long termpayment for assets and liabilities. RBImay specify the permissible capitalaccount transactions with limits.

FEMA 1999FEMA 1999

Sec.2(J).Current account transaction is onethat is not a capital account transaction.These are short term payment againstgoods and services.

• Payments against foreign trade,

• Remittances for expenses of family members residing abroad,

• Expenses in connection with foreign travel, education and medical care of spouse, parents and children.

FEMA 1999FEMA 1999

Sec 5: Current account transactions Any person can sell or draw foreign exchange to or from any authorised person if such transaction is current account transaction, with restrictions.

FEMA 1999FEMA 1999

Sec.2(n).Foreign exchange means foreign currency and includes: Deposits, credits, balances payable in

foreign currency. Drafts, travellers cheques, L.C. drawn in

Indian currency but payable foreign currency.

If they are drawn by banks or persons outside India, but payable in Indian currency.

FEMA 1999FEMA 1999

Sec-3.Dealing in Foreign Exchange. Save as otherwise provided in the Act or

without permission of RBI, no person shall-

(a) deal in or transfer any foreign exchange to any person not being an authorised person.(b) make any payment to or for the credit of any person resident outside India.

FEMA 1999FEMA 1999

(c)receive, otherwise through any authorised person, any payment from any person resident outside India.

(d) enter into any financial transaction in India as consideration for a right to acquire any asset outside India.

FEMA 1999FEMA 1999

Sec.10 Authorized person. The R.B.I. may, on an application madeIn this behalf, authorize any person to beknown as authorized person to deal inforeign exchange or in foreign securitiesas an authorized dealer or money changeror any other manner as it deems fit.

FEMA 1999FEMA 1999

AD-I, Banks. they are authorised to do all activities- purchase ,sale of F.E.,opening L.C. foreign bill collection etc.

AD-II, Private operators. They can only buy and sell F.E.

AD-III, Hotels of repute. They can only accept F.E. They have tie with AD-I.

FEMA 1999FEMA 1999

Sec-13 PenaltiesIf any person contravenes any provisionof this act, he shall be liable to penaltyupto thrice the sum involved, where suchcontravention is quantifiable or upto Rs.2 lakhs where such contravention is notquantifiable. Continuing contraventionwill attract a further penalty of Rs.5000/per day.

FEMA 1999FEMA 1999

Section-36: Directorate of Enforcement

Section-37: Power of Search and Seizure

Section-38: Empowering other Officers.

FEMA 1999FEMA 1999

Hawala transactions not defined in FEMA.It is unauthorised transfer of fund fromIndia to a foreign country or vice-versa

Hawala TransactionsHawala Transactions

Why Hawala ?• Evading direct taxes - IT, WT.• Evading indirect taxes - Customs duty,

Central Excise duty.• Converting black money into white.• Keeping money in foreign country for use

there.• Narco-terrorism, Gold smuggling etc.


Evolution Nationalizations of banks made people afraid

of keeping black money in banks, as it may be easily detected.

FERA/FEMA came into operation. People found the way of transferring fund

through unauthorized channels. Gradually Hawala evolved.


Modus operandi. Remittance.

• Over invoicing import bills

• Under invoicing export bills.

• Excess fund kept in overseas account.

Bringing back • Under invoicing import bills, brought through goods.

Balance payment from overseas a/c.

• Over invoicing export bills, sale proceeds brought back, Deduction under I.T. Act.


An Indian wants to remit money to aforeign country, a foreigner also wantsto remit money to India, both illegally.This can be done by mutual adjustmentsthrough Hawala operators.


Hawala through border States (Bangladesh)

Carriers carry money to border districts. Agents purchase goods in India and enters

Bangladesh. Sell goods in Bangladesh, collects BD Taka. Exchange BD Taka with Dollars with persons

residing abroad, sending money to their family at Bangladesh.


Jain HawalaSome beneficiaries in India got money inforeign currency, in foreign country, forsome help extended. Money was broughtto India through Jain Brothers and otherHawala operators.


Remedy• ED must keep vigil on such operations.

• Customs/Central Excise be vigilant on illegal imports/exports.

• IT Deptt. to verify false claim of foreign exchange deductions.

• Govt. to legislate rigorous punishment for offenders.

• RBI to play vital role, introduce checks.

• Co-ordination between these Deptts.


THANK YOU

Allied acts.bose

Business

Transcript of Allied acts.bose