The logical next step, after the Telgi fake stamp paper scam was exposed, would have been to abolish the use of stamp paper. Given the size of the scam?Rs 20,000 crore across 12 states in 2002?state governments should have done away with this system a long time ago. Although stamp papers of denominations of over Rs 501 are already under the e-stamp paper regime, Delhi has now decided to bring all stamp paper under the e-scheme. With all paper transactions?be it for the payment of phone and credit card bills, books, apparel and even food?being rapidly replaced by e-applications, going paperless on stamp duty is a step in the right direction. Based on the system piloted by Karnataka, individuals wishing to register real estate, marriage certificates and other such affidavits that require a transfer of funds to the Revenue Department will be able to do so electronically by paying their bank a visit.
It was one thing to have to physically queue up to buy stamp paper when banking was still largely an in-person activity. Given the prevalence of electronic transfers, however, it is only rational that this facility be used to transfer funds to the government, just like any other transaction. Not only will it save trees, the duty will reach the government?s coffers instead of being diverted to the bank accounts of counterfeiters Mr Telgi?s ilk.