Kanakadurga Chit Funds P\d. Ltd v. 1. State of Telangana

THE HON'BLE SRI JUSTICE K.SARATH WRIT PETITION No.13O8O of 2o25 ORDER: Heard learned counsel lor the petitioner and learned Assistant Government Pleader for Stamps and Registration appearing for the respondents. With their consent, this Writ Petition is disposed of at the stage of admission itself. 2 This writ petition is filed praying to: a) "...To declare the action of the Respondents in failing to release the security deposit made in terms of Chapter III of the Chit Fund Rules 2008, upon termination of the chit groups, as illegal, arbitrary, and a dereliction of statutory duties under the Chit Funds Act, 1982, and as being in violation o[ Article 19(1) (g) of the Constitution of India, and b) To direct the Respondents to forthwith approve the pending auction minutes uploaded on the T-Chits porLal, as per statutory requirements, and c) To direct the Respondents to forthwith release the security deposit amounting to Rs.88,0O,OOO/- (Rupees Eighty Eight Lakhs only), duly deposited by the Petitioner upon termination of the chit groups, together with interest accrued [hereon.. . " 3 Brief facts rising to file this writ petition are that petitioner iS a registered Chit fund Company incorporated SK, J w P.No.13O8O of 2025 -d,I under the Companies Act, 2013 represented by its Director, Sri Kondam Kamalakar and carrying on chit lund business in the name of Kanakadurga Chit Funds Private Limited. The petitioncr further submits that he has called lor subscription and has diligently complied with all statutory obligation under the Chit Funds Act, 1982 and reievant rules there under including depositing of Fixed Deposit Receipts (FDRs) as security for registered chit groups with the Assistant Registrar of Chits, Khammara in terms of Chapter III ol A.P. Chit Fund Rules 2008. The petitioner further submits that said chits have been depositing in terms of Section 20 of the Chit Fund Act. l9B2 and the Rules 22 of the Rules 2008 is for release of s,:curity deposit made under Section 20 of the Act. On ternrination of the chits, the petitioner made application under Rule 22 of the Rules 2008 and the Registrar has to follor,r, the procedure as specified of Rule 24 of Rules 2OO8 by displaying a notice inviting objection from the subscribers to the specified chits and thereafter release thc security together interest accrrred therein. 4 Learned Counsel for the petitioner would further I -4/ SK, J q/.P.No.l3080 of 2O25 submit that petitioner has deposited a sum of 3 Rs.88,00,OOOl- for several chit groups during the period March 2018 to September 2O2l and the said chits were terminated. Upon termination of each chit, the petitioner has submitted an application to the registrar for release of security deposit a,long with the declaration statement that the petitioner has cleared all dues to its subscribers. Subsequently, petitioner made application dated

16.10.2024 seeking for release of security deposit, but till date the respondent No.4 has not considered the petitioner's representation. Aggrieved by the same, this writ petition is hled. 5 Learned Counsel for the petitioner would submit that the limited grievance of the petitioner is that the respondent No.4 has not considered the petitioner's representation dated 16.1O.2024 till date, hence pray this Court to direct the respondent authorities to consider the said representation ald pass appropriate orders in a time I bound period

6. Learned Assistant Government Pleader appearing for respondents submits that if the said petitioner's 4 SK, J w.P.I{o.1308O of 2O2S representation is still pending for cons;ideration, the respondent authorities may be directed to dispose of the said representation dated 16.1O.2024 and pass appropriate orders in accordance with law.

7. In view of the submission made by l:arned counsel appearing on either side and without expressing arry opinion on the merits of the case, this rurit petition is disposed of, directing the respondent authorities to dispose of the petitioner's representation dated lt1.lO.2O24 a;rrd pass appropriate orders in strictly in accordance with law, as expeditiously as possible, preferably within a period of four (4) weeks from the date of receipt of copy of this order alrd communicate the same to the petitionet.. 8. Miscellaneous petitions, pending, if any, in this writ petition shall stand closed. No ordcr as :o costs. //TRUE COPY// SD/. K.SREERAMA MURTHY TDEPUW REGISTRAR 5 ECTION OFFICER The Principal Secretary to Governm-ent, Revenue (Stanrps and Registration), Secretariat, Hyderabad, Telangana State. Commissioner, and lnspector General/Registrar of Chits, Stamps and Registration, M.J. Road, Hyderabad, Telahgana. Deputy Registrar of Chits (District Registrar), Khammanr at Registrar Office, Knammam, lelangana. Assistant Registrar of Chits, Khammam at Registration Office, Khammam, Telangana One CC to SRl. B VARA PRASADA RAO Advocate [OPUC] Two CCs to GP FOR STATMPS AND REGTSTRATTON ,High Court for the State of Telangana. [OUT] To, 'l

4. 5 Ato.6' Vas HIGH COURT DATED:0210512025 I ,+E S,t4 15 11 o c J o ,J .>(' ,] l 6 JUn 2$25 ORDER WP.No.13080 of 2025 DISPOSING THE WRIT PETITION WITHOUT COSTS 6?T