THE HON’BLE SRI JUSTICE L.NARASIMHA REDDY WRIT PETITION No.4584 of 2009 ORDER: The petitioners created a mortgage over their respective properties in Survey Nos.270, 279 and 280, in favour of M/s.Kotak Mahindra Bank Limited, for securing repayment of Rs.5,50,00,000/-. The mortgage was created by way of Memorandum of Deposit of Title Deeds of their respective properties. The memorandum of deposit of title deeds, dated 30.01.2006, was got registered as document No.8811 of 2007 in the office of Sub-Registrar, Hayathnagar, Ranga Reddy District, the 3rd respondent herein. Thereafter, the petitioners and their mortgagee, the 4th respondent herein, agreed for termination of the mortgage. Accordingly, a deed of cancellation of the memorandum of deposit of title deeds executed on 10.02.2009, was presented for registration before the 3rd respondent. The grievance of the petitioners is that the 3rd respondent is insisting on payment of stamp duty at 0.5% of the loan amount. The petitioners state that the memorandum of deposit of title deeds itself was registered on receiving stamp duty at 0.1% of the value of property, whereas the 3rd respondent is insisting on payment of the stamp duty on the value of the loan. They contend that the insistence on the part of the 3rd respondent for payment of the stamp duty at 0.5% of the loan amount, is contrary to the provisions of the Indian Stamp Act, 1899 (for short ‘the Act’) and the various orders issued by the Government from time to time. Heard learned counsel for the petitioners and learned Government Pleader for Revenue. It is not in dispute that the memorandum of deposit of title deeds, which was sought to be cancelled, did nothing more than evidencing the mortgage. According to the provisions of the Act, the value of the property becomes relevant in a mortgage transaction, only where it entails in re-conveyance. The memorandum itself is of a limited scope and its purport is nothing but the title deeds and not the entire amount of loan. It is stated that the memorandum was levied stamp duty, in terms of G.O.Ms.No.2045 dated 28.11.2005, which stipulates stamp duty of 0.1% of the loan amount, subject to a maximum of Rs.1,000/-. When the memorandum of deposit of title deeds itself is levied the stamp duty at a particular rate, there cannot be any justification for levying any higher stamp duty for cancellation thereof. Hence, the Writ Petition is allowed, and the 3rd respondent is directed to admit the deed of cancellation of memorandum of deposit of title deeds by levying stamp duty at 0.1% of the loan amount, subject to a maximum of Rs.1,000/-, as provided for under G.O.Ms.No.2045, dated 28.11.2005, if the document is otherwise in order. There shall be no order as to costs. ____________________ L.NARASIMHA REDDY, J. Dated:16.03.2009. Note: Furnish C.C. in one week. (B/o) GJ