GOVERNMENT OF UTTAR PRADESH AND OTHERS vs RAJA MOHAMMAD AMIR AHMAD KHAN

The Supreme Court ruled that after determining the stamp duty under Section 31 of the Indian Stamp Act, 1899, the Collector becomes functus officio and cannot impound the instrument or demand payment of duty and penalty. The Court clarified that the Collector's role is limited to determining the duty, and any subsequent action to impound the instrument is not permissible under Section 33, as the instrument is not produced in the performance of his functions. The demand for stamp duty and penalty was thus quashed.