High Court · 2025

.....RESPONDENTS Petition Under Articre 226 0f the constitution of rndia praying that in the circumstances stated in the affidavit fired therewith, the High court may be pleased to issue an order, direction or writ more particurarry one in the nature of writ of Mandamus or any other appropriate writ a)To decrare the action of the Respondents in fairing to rerease the security deposit made in terms of chapter Ir of the Chit Fund Rules, 2008, upon termination of the chit groups, as illegal, arbitrary, and a dereriction of statutory duties under the chit Funds Act, 1gg2, and as being in vioration of Articre 19(i ) (g) of the constitution of rndia, and b)To direct the Respondents to forthwith approve the pending auction minutes uploaded on the f-C hits portal, as per statutory requirements' 'rnd 'r)To direct the Respondents to lorlhv'rith release the security deposit amounting to 21'23'00'000 (Rupees one Crore Trventy-Three Lakhs only)' duly depositec by the Petitioner upon terminati6n 6f h: chit groups' together with interest accrued thereon l.A.NO: 10F 2025 . Petition Uncler Section 151 CPC praying that in the :ircttmst:rnces stated ln the affidavit fileri n r;upport of the petition' the High Court rnay be pleased to direct the Respc'nCr:rts to approve the auction minutes and release the security deposits amounting rr 21,23,00,000 (Rupees One Crore T'wen':y-Three Lakhs only), in terms of [iection 20 of Act' 1982' in the light of the re lresr:ntations dated 16.1O.2024, submitlerj by the Petitioner' Counsel for the Petitioner : SRI B'VARA PRASADA RAO Counsel for the Resllondents : AGP FOR REVENUE The Court at the :;ta(le of admission made the following ORDER THE HON'BLE SRI JUSTICE K.SARATH IVRIT PETITION No. 12492 ot 20.25 ORDER: Heard learned counsel for the petitioner and learned Assistant Government pleader for Stamps ald 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 20Og, upon termination of the chit groups, as illegal, arbitrary, and a dereliction of statutory duties under the Chit Funds Act, 19g2, and as being in violation of Article 19(1) (g) of the Constitutton of India, and 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. f ,23,00,000/_ (Rupees One Crore Twent5z Three Lakhs only), duly deposited by the petitioner upon termination of the chit groups, together with interest accrued thereon...,, Brief facts rising to file this writ petition are that petitioner is a registered Chit Company incorporated under

3. \ 2 SK' J W .l' .No - 12492 of 2O2S secuntY Registrar the Comparries ;\ct' 2Ol3 reptesented by it's Dire<:tor' Sri Kondarn Karrztlrlkar and carrying on chit futrd ':usiness in the narne of l anakadurga Chit Funds' The' p'3titioner further subrrlits that he has called for subscliptLon and has diligently ccrrllied with all statutory obligation under the Chit Funds l\:t' 1982 arrd relevant rules there under including rJr:Jrcsiting of Fixed Deposit Receipts (IrDRs) as frrr registered chit groups with the "\ssistant of (-hit, Warangal in terms of Chapt:r ill of A'P' Chit Fund I{r:les 2008' The petitioner further submits that said chits Lrztve: been depositing in terms <;f 'Ser:t'on the Chit Jirulrl Act, 1982 and' the Rules 122 of 'he Rules 2OO8 is fc'r tt:Ltlase of security deposit made un'1t:r Section 20 ofthe l\<:t' On termination of the chits' thr: petitioner made applict'lion under Rule 22 of the Rulcs :2008 a1d the Registrar has; to foilow the procedure as spt:cified 'lf Rule 24 of Rules 1l()0t by displaying a notice inviting c'b-le':tion from the subs<:ritrers to the specified chits and l'hereaJ'-er release the securitv tlgether interest accrued there in L,earrr':d Counsel for the petition'er "l'otrid 4. submit that petitioner has depositt:d zr sum of further 2O of ]/ 3 sN, J W.P.No.t2492 of 2e2S Rs. 1,23,00,OO0/- for several chit groups during the period March, 2079 to February, 2or9 and the said chits were terminated during the year 2023-2024. Upon termination of each chit, the petitioner has submitted an application to the registrar for release of security deposit atong with the declaration statement that the petitioner has cleared all dues to its subscribers. Subsequently, petitioner made application dated 16. lO.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 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.

6. Learned Assistant Government pleader appearing for respondents submits that if the said petitioner,s representation is stili pending for consideration, the I I 4 SK' J W.P No.12492 of 2025 respondent Llr'-f orities may be directed to clispose of the said represenl.e.: on clated 16' lO'2024 and pass etppr-opriate orders in acr:c'rclance with law' In viev' :f the submission made by learr:er1 ilounsel 7. appearing i)11 :ither side and without e:<pt't'ssitlg any opinion on thr: merits of the case' this u'rit pel.ition is disposed of 11:r:':cting the respondent authorities 1o dispose of the petitiorr:r's representation dated ltt'lOJ)024 and pass appropl-izr-e orders in strictly in accord'ant:e i"'ith law' as expediticrtsI! as possible' preferably wit:Iin a l;eriod of four (4) we':l<si t'om the date of receipt of copy 'lf ti'ris order and commutl:r:ate the same to the petitioner' Mis,xr[. zrneous Petitions, pending, if :rnv in this 8 writ Petitic,n sfLall stand closed No order as to cos[.s' //TRUE COPY// l'Alt?JYtXX ^l'' ^33hqix i , sEc',ttoN oFFlcER -/ \ ''iJl*i,iili-,ri,,""iigi::ls:3"d:"tilt111,T',,fl#,fl ';f ,:f tli-:::"' ,. an" Prinr'iPa S;t"crel 2 The Cornrn tst;ilner, " +ih:lll l.l I i.n::St 8ilfl s i?,13fu1"'133e"?i'1i' N i :ra m a bac a t Res istra r - ?,T:"ru|':tl[; I33;#llPBl?'' Ni""uad at Resi stration ( )rrice' . +ffBA::il ,!il?13ftH=u.NUE, High court for the state of rerangana at 6. Ohe CC lc t/''' B VARA PRASADA RAO' Advocate lOPtJCl 7. Two CD Co: i'>s Hvderabacl lClUTl SA GJP *p, I . t,. ,,,:. i r 4re ) -) ,-)z \ 2 i tril{ ?m -ri t- \::- 'f '\i - :iP ' rr '' HIGhI COURT DATED:0 2l}5't"2025 ORDER WP.No.12492t of 2025 DISPOSING OF THE W.P AT THE STI\GE OF ADMISSION WITHOUT COSTS. @ 5l )5'