Report No. 148
3.6. The Promissory Notes (Stamp) Act, 1926 (11 of 1926).-
This Act was enacted with a view to providing for the validation of certain Promissory Notes executed after 30-9-1923 and before 5-1-1925, and stamped with adhesive stamp or adhesive stamps inscribed for postage and of the value required by the law enforced at the time the promissory note for an amount exceeding Rs. 250 was executed. The Act provides that a promissory note shall not by reason only of the fact that the stamp or the stamps or any of them is of a description otherwise than that required by law, be deemed, for any of the purposes of the Indian Stamp Act, 1899 or of the rules made thereunder, not to have been duly stamped.
Thus, the object of the Act is to validate certain promissory notes which would not have been otherwise lawful. After expiry of nearly 65 years, it may be safely presumed that the parties to the promissory notes must have acquired their respective rights. The Act, therefore, seems to have become obsolete and we recommend its repeal. We are aware that the ordinary practice has been to repeal validating Acts. However, the Act under consideration addresses itself to a very short period and a departure can be made from the usual practice. Incidentally, the short title of this Act is misleading. At the first sight, it gives the impression that the Act contains a permanent law.