High Court · 2025

Petition under Article 226 of the Constitution of lndia praying that in the High Court may be one in the nature of circumstances stated in the affidavit filed therewith, the pleased to issue an order, direction or Writ more particularly Writ of Mandamus or any other appropriate writ ...RESPONDENTS a)To decrare the action of the Respondents in fairing to rerease the security deposit made in terms of Chapter of the Chit Fund Rules, 2008, upon termination of the chit groups, as iflegar, arbitrary, and a dereriction of statutory duties under the chit Funds Acl, 19g2, and as being in vroration of Articre 19(1) (g) of the Constitution of lndia, and 'i::=-- --rz ''4:/ b)To direct the Respondents to forthwith approve the pending auction minutes uploaded on the T-Chits portal, as per statutory requirements, and c)To direct the Respondents to forthwith release the security deposit amounting to Rs.14,00,000 (Rupees Fourteen lakhs only), duly deposited by the petitioner upon termination of the chit groups, together with interest accrued thereon and lA NO: 1 OF 2025 Petition under section 151 cpc praying that in the cir'umstances stated in the affidavit filed in support of the petition, the High court may be pleased to direct the Respondents to approve the auction minutes and release the security deposits amounting to Rs.1 4,00,000 (Rupees Fourteen lakhs only), in the terms of section 20 of the Act, 1982 in the light of the representations dated 16.1o.2024, submitted by the Petitioner. Counsel for the Petitioner: SRI B. VARA PRASADA RAO Counsel for the Respondents: AGP FOR STAMPS AND REGISTRATION The Court made the following: ORDER THE HON'BLE SRI JUSTICE K.SARATH WRIT PETITION No.12675 of 2025 ORDER: Heard learned counsel for 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 ol admission itself.

2. This writ petition is filed praying to: a) "...To declare lhe action of thc Respondents in failing to release the security deposit made in terms of Chapter III of the Chit Fund Rulcs 2O08, upon termination of the chit groups, as illegal, arbitrary, and a dereliction of statutory duties undcr the Chit Funds Act, 1982, and as being in violation of Article 19( I ) (g) of the Constitution of India, and b) To direct the Respondents to forthwith approve the pending auction minutes uploaded on the T-Chits portal, as per staLutory requirements, and c) To direct the Respondents to lorthwith release the security deposit amounting to Rs.14,00,000/- (Rupees Fourteen Lakhs only), duly deposited by the Petitioner upon termination of the chit groups, together with interest accrued thereon..."

3. Brief facts rising to file this writ petition are that pptitioner is a registered Chit fund Company incorporated &;,'*] j i 2 *.".n".rrUrc or?[13 under the Companies Act, 2013 represented by its Director, Sri Kondam Kama-lakar and carrying on chit fund business in the name of Kanakadurga Chit Funds private Limited. The petitioner further submits that he has called for subscription and has diligently complied wrth all statutory obligation under the Chit Funds Act, l9g2 and relevalt rules there under including depositing ol Fixed Deposit Receipts (FDRs) as security for registered clrit groups with the Assistant Registrar of Chits, Maredpaily in terms of Chapter III of A.p. Chit Fund Rules 2008. further submits that said chits have been depositing in terms of Section 20 of the Chit Fund Act, t9g2 and the Rules 22 of the Rules 2O0g is for release of sc,:urier deposit made under Section 20 of the Act. On termi:eation of the chits, the petitioner made application under Rule 22 of the Rules 2OOg and the Registrar has to follow tl re procedure as specified of Rule 24 of Rules 200g by displal,ing a notice inviting objection from the subscribers to the specifred chits and thereafter release the security together inter.est accrued The petitioner therein. ry& / 3 SK, J trI.P.No.12675 of 2025

4. Learned Counsel for the petitioner would further submit that petitioner has deposited a sum of Rs.14,0O,0OOl- for several chit groups during the period January 20 18 to October 2O2O 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 along with the declaration statement that the petitioner has cleared a,11 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 sarne, this writ petition is filed.

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 16.10.2024 till date, hence pray this Court to direct the respondent authorities to consider the said representation and pass appropriate orders in a time ( ( bound period 4 SK, J W.P.l{o.12675 of 2O25

6. Learned Assistant Government pk:ader appearing for respondents submits that if the said petitioner,s representation is still pending for consideration, the respondent authorities may be directed to dispose of the said representation dated 16.lO.2024 ar-rd pass appropriate orders in accordance with law.

7. In view of the submission made by learned counsel appearing on either side and without cxpressing arry opinion on the merits of the case, this vrrit petition is disposed of, directing the respondent authorLties to dispose of the petitioner's representation dated 16.10.2024 and, pass appropriate orders in strictly in accord,ance with 1aw, as expeditiously as possible, preferably within a period of four (4) weeks from the date of receipt of copy of this order and communicate the same to the petitioner.

8. Miscellaleous petitions, pending, ii' any, in this writ petition shali stand ciosed. No order as to costs. SD/- A, SRINIVASA REDDY ASSISTANT REGISTRAR \ \ To,

4. ^M s. w."1'l

7. I -ieLiqi;a'State. secrroru oFFrcER The Principal Secretary to Governm.ent, Revenue ldtamgrs and Registration), Secretariat, Hyderabad, State of Telanorna, uommtsstoner and lnsoector General/Registrar of Chits, Stamps and Registration, Ir/.J. Roail, Hyderabad, ie6liq;ra. - ''" ueputy Regi-strar of chits (District Registrar), Maredpafly at Registrar office, tVlaredpally, Telanoana. lssistant Registrar of Chits, Maredpally at Registration Office, Maredpally, Telangana. Qne QC to Sri B. Vara Prasada Rao, Advocate tOpUCl Two CCs to GP for Stamps And Registration, ff'bn CJJ.I for the State of Telang€n-a, at Hyderabad' [OUT] Two CD Copies HIGH COURT DATED:0210512025 ORDER WP.No.12675 of 2025 ..? - ',, I *'r' Sr l'r it,.) ti'j 2 6 lult :/ / '--, DISPOSING OF THE WRIT PETITION WITHOUT COSTS I tD t6 b{ W