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Issues: Whether the handing over of vacant possession and execution of the document in question amounted to a "relinquishment" of tenancy within section 19(1) of the Bombay Rents, Hotel and Lodging House Rates Control Act, 1947, so as to sustain a conviction under section 19(2).
Analysis: The statutory language was construed strictly because the provision created a penal offence. The distinction between an assignment of tenancy and a relinquishment or surrender of tenancy was treated as material. On the facts, the document showed a transfer of possession and an arrangement consistent with assignment, not a surrender of tenancy rights back to the landlord or his representative. The reference to section 15 also supported the view that assignment or transfer by a tenant was dealt with separately from the penal consequence attached to relinquishment under section 19.
Conclusion: There was no relinquishment within the meaning of section 19(1), and the conviction under section 19(2) could not be sustained. The conviction was therefore set aside in favour of the appellant.
Ratio Decidendi: A penal provision using the expression "relinquishment of tenancy" must be strictly construed, and an assignment or transfer of possession does not amount to relinquishment unless the tenant surrenders tenancy rights in the legal sense.