Kanakadurga Chit Funds Pvt. Ltd v. State of Telangana
Court: High Court for State of Telangana
Bench: N.V.SHRAVAN KUMAR
Judgment date:
Case summary
High Court for State of Telangana judgment dated 2024-12-19. Kanakadurga Chit Funds Pvt. Ltd v. State of Telangana. Read the judgment and case details on...
Judgment text
[ 32551 IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) THURSDAY, THE NINETEENTH DAY OF DECEI\iIBER TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE SRI JUSTICE N. V. SHRAVAN KUMAR WRIT PETITION NO: 35275 OF 2024 Between: Kanakadurga Chit Funds P! ,1. Ltd, A Private Limited Company, _having its registered office at 5-1 1-503 and 504, Kandakatla Gateway, KUC X Road, Hdnumakonda, Warangal, Telangana - 506001. Rep. , through its Director, Kondam Kamalakar, Aged about 33 years, Sfo. Ravinder Reddy, Occ. Business, Fl/o. H. No. 35-5-136/v9, Siris lnhava Villas, Gopalpur, Hanumakonda, Telangana State. ... PETITIONER AND 1 State of Telangana, Rep. by its Principal Secretary to Government, Revenue (Stamps and Registration), Secretariat, Hyderabad, Telangana State 2. Commissioner and lnspector General/Registrar of Chits, Stamps and Registration, M. J. Road, Hyderabad, Telangana. 3.
Deputy Registrar of Chits (District Registrar), Warangal at Registrar Office, Hanumakonda, Telangana. 4. Assistant Registrar of Chits, Warangal at Registration Office, Hanumakonda, Telangana. ... RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an order, direction or Writ more particularly one in the nature of Writ of Mandamus or any other appropriate writ a. To declare the actign of the Respondents in not releasing the security deposit made in terms of Chapter lll of the Rules, 2008 on termination of the chits as being illegal, arbitrary and amounts of dereliction of statutory duties as mandated in Chit Funds Act, 1982 and in violation of Article 19(1Xg) of the Constitution of lndia, and b.
To direct the Respondents herein to forthwith release the security of 1,70,50,000 (One Crore Seventy Lakhs Fifty Thousand Rupees in words) deposited by the Petitioner consequent on termination of the chit groups together with interest accrues thereon, and c. To award costs quantified at Rs. 10,00,000/- (ten lakh rupees in words) or any other higher amounts for the undue delay in releasing the amounts. lA NO: 1 OF 2024 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the Respondents herein to release the security deposit of Rs. 1,70,50,0004 (One Crore Seventy Lakhs Fifty Thousand Rupees in words) by considering the representation dated 16. 10. 2024 submitted by the Petitioner herein. Counsel for the Petltioner: SRI SAI PRASEN GUNDAVARAM Counsel for the Respondents: ASST. GP FOR STAMPS AND REGISTRATION The Court made the following: ORDER THE HONOURABLE SRIIUSTICE N. V.
SHRAVAN KUMAR WRIT PETITION No. 35275 of 2024 ORDER: Heard learned counsel for the petitioner and Learned Assistant Government Pleader for Stamps and Registration appearing for respondents. With their consent, the writ is being taken up for disposal at the Petition admission stage. 2. This Writ Petition is filed praying to: " declare the action of the Respondznts in not releasing tlrc secuity deposit made in terms of Chnpter lll of tle Rules, 2008 on termination of tlu chits as being illegal arbitrary and amounts of dereliction of statutory duties as mandated in Chit Funds Act, 1982 and in oiolation of Article 19(1)(g) of the C-onstitution of lndia and to direct tfu Respondents herctn to forthzoith release tht security of 1,70,50,000 deposited by the petitionet consequent on termination of the cttit groups together utith interest acc:ru,es arul to aruard costs quantifed at Rs 1-0,00,000 the undue delay in rebasing the for amounts. " 3.
Brief facts rising to file this writ petition are that petitioner is a registered Chit Company incorporated under the Companies Act, 2013 represented by its Director, Sri Kondam Kamalakar and carrying on chit fund business in the name of Kanakadurga Chit Funds. The petitioner further submits he has called for subscription and has di-ligently compiled with all statutory obligation under the Chit Funds Ac! 1982 and relevant rules there under including depositing of Fixed Deposit ReceiPts (FDRs) as security for registered chit groupsrvith the \ I --=... -- ) Assistant Registrar of Chit, Warangal in terms of Chapter III of AP Chit Fund rules 2008. The petitioner further submits that said chits have been depositing in terms of Section 20 of the Chit Fund Act, 7982 and the Rules 22 of the Rules 2008 is for release of security deposit made under Section 20 of thi Act.
On termination of the chits, the petitioner made application under Rule 22 of the Rules 2008 and the registrar has to follow the procedure as specified of Rule 24 of Rules 2008 by displaying a notice inviting objection from the subscribers to the specified chits and thereafter release the securitv together interest accrued therein. 4. Sri G. Vidya Sagar, learned counsel for the petitioner would further submit that petifioner has deposited a sum of Rs. 1,70,50,000/ - for 63 chit groups during the period September 2018 to October 2018 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 relcase of security deposit along with the declaration statement that the petitioner has cleared all dues to its subscribers. Subsequently, petitioner made an application, dated 1. 6. 1. 0. 2024 seeking for release of security deposit, but till date the respondent No.
4 has not considered the petitioner representation. Aglyieved by the same, this writ petition is filed. 5. Learned Senior 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 / I /,- direct the respondent authorities to consider the petitioner's representation dated 1,6. 10. 2024 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 still pending for consideratiory the respondent authorities may be directed to dispose of the petitioner's representatiory dated 76. 1. 0. 2024 and pass appropriate orders in accordance with law. 7.
ln view of the submission made by rearned counser appearing on either side and without expressing any opinion on the merits of the case, this writ petition is disposed of, directing the respondent authorities to dispose o{ the petitioner's representation dated 16. 10. 2024 and pass appropriate orders in strictly in accordance with law, as expeditiously as possible, preferably within a period of four (04) weeks from the date of receipt of copy of this order and communicate the same to the petitioner. 8. Accordingly this writ petition is disposed of. Miscerlaneous applications, if any pending, shall stand closed. No order as to costs. SD/. A. V. S. PRASAD ASslsrANr //rRUE coPY// TgsrRAR sEcTtoN oFF|CER ,/ o, \ 1 covernment, Revenue (Stamps and Registratron), ]! p^I'! -.! gl-S99i"tgry Ig State of I etangana, Secretariat, Hyderabad, Telangana Stete ^ z. uommrssroner and lnspector General/Registrar of chits, stamps and Registration, Ivl. J. Road, Hyderabad, Telangana. _ 3.
Deputy Regisirql of Chits (Disirict Registrar), Warangal at Registrar Office, HanumaKonda. lelanoana. "Chits, 4. Assistant Registrar of Warangal at Registration Office, Hanumakonda, Telangana. pne CC to SRI SAI PRASEN ! _GUND4V4B4! 4, Advocate [opUC] 6. Two ccs to GP FoR srAlvrps AND REGrsrRATroN, *ign couk ror rne state of Telangana. [OUT] 7a. Two CD Cooies BN firi LS \r-<\ / d HIGH COURT DATED:19 t12t2024 IHE SI4 R c /6 Y ($ t' ) ? " oBJAil 2o2l i a * * HEll ORDER ',4T(: WP. No. 352tS of 2024 DISPOSING OF THE WRIT PETITION WITHOUT COSTS
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