Stamp duty on foreign-executed power of attorney can still be enforced after three months, with endorsement after payment.

A power of attorney executed outside India and produced in India after three months could still be impounded under the Indian Stamp Act, 1899, because the three-month period in Section 18 read with Section 32 governs voluntary stamping and does not bar action under Section 33. The instrument remained liable to stamp duty and penalty when used in Indian proceedings. After payment of the duty and penalty, Section 42(1) required endorsement, and the document could then be admitted in evidence. The objection based on expiry of three months was rejected, and recall of the earlier impounding order was not sustained.

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Issues: Whether a power of attorney executed outside India but produced in India after three months from execution could still be impounded, subjected to stamp duty and penalty, and thereafter admitted in evidence, and whether the earlier order impounding the document was liable to be recalled.

Analysis: The instrument was executed outside India and was sought to be used in proceedings in India, attracting stamp duty under Section 3(c) of the Indian Stamp Act, 1899. The Court held that the three-month period mentioned in Section 18 and the related clause in Section 32 applies to the course of voluntary stamping within time, and does not bar impounding under Section 33 where the document is produced after expiry of that period. Once the duty and penalty were paid, an endorsement under Section 42(1) was required, and the document could be placed in evidence. The respondent's request to recall the earlier order was therefore not sustainable.

Conclusion: The objection based on expiry of three months was rejected, the impounding and levy of stamp duty and penalty were upheld, and the original power of attorney was directed to be returned after completion of the statutory formalities.

Ratio Decidendi: A document executed outside India and produced in India after three months may still be impounded under Section 33 of the Indian Stamp Act, 1899 and subjected to duty and penalty; the three-month period does not bar such impounding, and payment of the amount entitles the instrument to endorsement under Section 42(1).

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