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The question in Hansia v. Bakhtawarmal was how far a non-registered document that required mandatory registration under Section 17 of this act might be used in the action. The document in dispute was an unregistered mortgage deed. Because the objective of the mortgage deed is to prove the mortgage, a suit for recovery based on an unregistered mortgage deed is bound to fail. According to Section 49 of the Registration Act, an unregistered mortgage deed can only be utilised as collateral. The plaintiff can only utilise the unregistered deed to prove the nature of possession in a claim for possession, not in a suit for redemption. As a result, Section 49 of the Act cannot be used to get any benefit in a redemption litigation. Documents that are required to be registered under the Registration Act of 1908 can be used for collateral purposes.
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