Chit Funds (Karnataka) Rules, 1983
Transcription of the linked source, arranged by section.
Text from the supplied document, arranged by section.
Contents
Preamble
In exercise of the power conferred by Section 89 of the Chit Funds Act, 1982 (Central Act 40 of 1982), the Government of Karnataka in consultation with the Reserve Bank of India, hereby makes the following rules, namely.
CHAPTER I PRELIMINARY
Rule - 1. Title and Commencement.
(1)These rules may be called the Chit Funds (Karnataka) Rules, 1983.
(2)They shall come into force on the date of their publication in the Official Gazette.
Rule - 2. Definitions.
In these rules, unless the context otherwise requires,
(a)"Act" means the Chit Funds Act, 1982 (Central Act 40 of 1982);
(b)"Appendix" means Appendix I and II to these rules;
(c)"Form" means a form appended to these rules;
(d)"Section" means a section of the Act.
CHAPTER II REGISTRATION
Rule - 3. Application for obtaining previous sanction for commencement or conduct of chit.
Every application by the foremen for obtaining previous sanction of the State Government or the officer empowered by it for commencement of conduct of a chit shall be in form I.
Rule - 4. Communication of the refusal to sanction commencement or conduct of chit.
[1][(1) Where a sanction for the commencement or conduct of a chit it refused, the reasons for such refusal shall be recorded in writing and a copy thereof shall be communicated to the applicant.
(2)Before refusing such sanction the Register shall issue a notice to the foreman calling upon him to show cause within a reasonable period to be specified in such notice, why sanction shall not be refused.
(3)Where the ground for the proposed refusal of such sanction is default in payment of fees or filing of any statement or record required to be paid or filed under the. Act, the Registrar, may, after hearing the foreman and being satisfied that the default has occurred due to reasons beyond the control of the foremen or due to other bona fide reasons condone the said default provided that the foreman has paid the fees or filed the necessary documents on or before the date of such hearing.
Rule - 5. Communication of the refusal to register a chit.
(1)If the Registrar refuses to register a chit, he shall record the reasons for such refusal in writing and communicate a copy of the order to the applicant.
(2)Before refusing registration, the Registrar shall issue a notice to the foreman calling upon him to show cause within a reasonable period to be specified in such notice why the registration shall not be refused.
(3)Where the grounds for the proposed refusal of registration is default in payment of fees or filling of any statement or record required to be paid or filed under the Act, the Registrar may after hearing foreman and being satisfied that the default has occurred due to reasons beyond the control of the foremen or due to other bona fide reasons condone the said default provided that the foreman has paid the fees or filed the necessary documents on or before the date of such hearing.
Rule - 6. Application for appropriation of any sum from the reserve fund.
Every application for obtaining prior approval of the Registrar for appropriation by a company of any sum from the reserve fund shall be in Form II.
Rule - 7. Declaration to be filed about subscriptions to all tickets of a chit.
Every declaration to be filed by a foreman after all tickets in a chit specified in the chit agreement have been fully subscribed shall be in Form III.
Rule - 8. Form of certificate of commencement of chit.
The certificate of commencement of a chit to be granted to the foreman shall be in Form IV.
Rule - 9. Form of certificate about furnishing copy of chit agreement to subscribers of chit.
The certificate by the foreman for having furnished copy of chit agreement to every chit subscriber to be filed before the Registrar shall be in Form V.
Rule - 10. Form of notice to chit subscriber.
Every notice to be given by a foreman to the subscribers in a chit under Section 16 shall be in Form VI.
Rule - 11. Form of minutes of proceedings.
The minutes of proceeding of every draw shall, in addition to the particulars specified in sub-section (2) of Section 17, contain the following particulars namely:
(a)Particulars of deposits, if any, of the prize amount under sub-sections (1) and (2) of Section 22, since the date of the previous draw;
(b)Particulars of deposit, if any, of money under sub-section (1) of Section 30 and sub-section (4) of Section 33, since the date of the previous draw;
(c)Amount withdrawn from the approved bank, indicating the name of the bank and the purpose for which the amount was withdrawn since the date of the previous draw;
(d)How the prized subscriber was ascertained according to the terms of the chit agreement and particulars of tickets and prize amount. If the ascertainment of the prized subscriber related to a fraction of a ticket, particulars in respect of each such fraction shall be entered;
(e)full particulars of the commission paid to the foreman and amount of dividend assigned to each subscriber;
(f)names of subscribers of the persons authorised by them in that behalf who bid at the drawing, their ticket numbers and signatures.
CHAPTER III
Rule - 12. Value of security transferred under Section 20.
In case of securities transferred in favour of Registrar under clause (c) of Sub-section 20,
(i)If the security is moveable property the value of which shall not be less than one and a half times the value of the chit amount; and
(ii)If the security is immovable property the value of which shall not be less than two times the value of the chit amount.
Rule - 13. Valuation of chit amount in grain chits.
In a grain chit, for the purpose of security under Section 20, the gram shall be value be the Registrar as follows, namely:
(a)The total quantity of grain due from all subscribers at one instalment of the chit shall be ascertained;
(b)The market value for the time being of the total quantity referred to in clause (a) shall then be calculated;
(c)In assessing the market value, the Registrar shall adopt the current market price at the nearest town as ascertained from the Tahsildar having jurisdiction;
(d)One and quarter times the market value mentioned in clause (b) shall be taken to be the chit amount for the purpose of furnishing security by the foreman under Sub-section (1) of Section 20.
Rule - 14. Application for release of security.
On termination of a chit, the foreman may apply to the Registrar for release of the security given by him.
Rule - 15. Declaration by foreman.
The application for release of security under sub-section (5) of Section 20 shall contain a declaration duly signed by the foreman certifying that the claims of all the subscribers have been fully satisfied and that all dues payable by the foreman under the Act to the Registrar or any other officer have been fully paid.
Rule - 16. Procedure for release of security.
(1)The Registrar may, for the purpose of releasing the security under sub-section (5) of Section 20, call upon the foreman to produce a duly certified copy of any register or book of accounts maintained by the foreman and shall exhibit a notice in his office notice board stating that the security is proposed to be released and that any person objecting to such release may file with the Registrar his statement of objections, if any within fifteen days from the date exhibition of such notice. If no objections are received within the period specified above, the Registrar shall release the security.
(2)If objections are received, the Registrar shall enquire into the objections within fourteen days after the date of expiry of the, period specified in sub-rule (1) and record his decision in writing and communicate the order to the foreman and objector.
Rule - 17. Books of accounts to be maintained by the foreman.
In addition to the book of minutes of draws mentioned in Section 17, every foreman shall keep the following registers and books of accounts,
(1)A Register of subscribers in Form VII
(2)A ledger in Form VIII
(3)A day book in Form IX
(4)A receipt book in Form X
(5)A book containing copies of all notices issued by the foreman to the subscribers.
(6)A file containing the letters of authorisation of the subscribers for subscribing their names in the Chit agreement and for participating in the draws of chit.
(7)A file containing the vouchers for payment made by the foreman.
(8)A file containing documents relating to the securities offered by the prized subscribers.
Rule - 18. Accounts to be maintained.
(1)Every entry in the register of subscribers, the ledger or the day book mentioned in Rule 17, shall be made as and when the particular event occurs.
(2)On receipt of any money, a receipt shall immediately be prepared or cause to be prepared by the foreman in Form X and delivered to the payer.
(3)The foreman, shall, at the time of issuing every notice, prepare a copy thereof in the book mentioned under clause (5) of Rule 17, certify it to be true copy and enter therein under his signature, the date of dispatch of the notice.
(4)A voucher duly signed by the recipient shall be obtained by the foreman at the time of any payment is made to him and such voucher shall be immediately filed in the file specified in clause (7) of Rule 17 after due verification of all the particulars entered therein.
(5)Every document relating to the security given by prized subscribers shall as soon as it is received be filed in the file mentioned in clause (8) of Rule 17. The file shall contain an index for facilitating the scrutiny of the documents.
Rule - 19. Filing of vouchers.
As soon as each payment is made, the foreman shall obtain a voucher from the payee. He shall verify whether the voucher specifies the purpose for which the payment was received and whether it is properly signed by the recipient and preserve it in the file mentioned in clause (7) of Rule 17 after assigning a serial number thereto for each calendar month.
Rule - 20. Date for submission of balance sheet.
(1)The balance sheet prepared in accordance with the provisions of Section 24 shall be filed with the Registrar within a period of three months from the expiry of the period with reference to which it is prepared.
(2)Receipts and expenditure account and statement showing the assets and liabilities of the individual chit group shall be filed in Form XI with the Registrar within a period of two months from the date of termination of the chit when the duration of chit does not exceed one year on expiry of every period of twelve months and also On the termination of the chit.
CHAPTER IV WINDING UP OF CHITS
Rule - 21. Form of application for winding up of chit.
An application for winding up of a chit shall contain the following particulars, namely:
(1)Full name, description, occupation and address of the applicant.
(2)Address of his advocate, if any, for the service of all notices, process etc.
(3)Address of the foreman.
(4)Particulars of the chit,
(a)Number and date of registration of the chit agreement;
(b)Office where the chit agreement was registered;
(c)The chit amount;
(d)The total number of tickets;
(e)The number of subscribers and the number of tickets subscribed by each subscriber;
(f)The number of non-prized subscribers on the date of the petition; and
(g)The number of unpaid prized subscribers, if any.
(5)Facts on which the applicant relies in support of the application.
(6)Particulars relating to the award and execution of other process which has been returned unsatisfied in whole or in part, if the ground of the petition is that execution of other process issued on an award or order of the Registrar in favour of any subscriber in respect of the amounts due to him from the foreman was returned unsatisfied in whole or in part.
(7)Full details to show that the condition prescribed in clause (n) of the proviso to Section 49 is satisfied, if the winding up of the chit is applied under clause id) of Section 48.
(8)A copy of the order of previous sanction of the State Government, if clause (b) of the proviso to Section 49 applies.
Rule - 22. Procedure for collection and distribution of chits.
(1)The Registrar or any person appointed by him under Section 54, shall prepare a provisional statement with the following particulars, namely:
(a)the names of subscribes and persons from whom moneys are due to the chit;
(b)the names of subscribers and persons to whom moneys are due from the chit;
(c)the details of the chit assets to be collected and applied for discharge of chit liabilities; and
(d)the amount proposed to be paid to each of the person specified in clause (b).
(2)The notice of preparation of a provisional statement accompanied by a copy thereof shall be published and be served on the petitioner and the subscribers. If the number of persons on whom notice is to be served is more, the Registrar or person appointed by him in this behalf, as the case may be, serve the notice on the petitioner and also publish such notice in one or more local daily news papers. The notice shall specify the date on which objections to the statement will be heard and call upon any person having such objections,
(a)to submit his statement of objections and the grounds therefore supported by an affidavit before the date specified by the Registrar or person appointed by him in this behalf; and
(b)to appear in person or by advocate on the date of hearing with all materials in support of his objection.
(3)On the date fixed for hearing of objections under sub-rule (2) the Registrar or any person appointed by him, shall hear objections if any, and revise, alter or modify the provisional statement if necessary and prepare a final statement.
Rule - 23. Collection and distribution of chit assets.
The Registrar or the person appointed by him, as the case may be, shall take steps for the collection of chit assets and pass orders for distribution of available chit assets to the non-prized and unpaid prized subscribers.
Rule - 24. Provision for expenses of winding up.
(1)The Registrar or person appointed by him, before passing orders for the distribution of chit assets shall specify the estimated amount of the cost of winding up including remuneration for the Receiver and such other items of expenditure as are incidental to the winding up and such estimated amount shall first be provided for and deducted from the value of the chit assets and the balance amount shall be proposed for distribution in accordance with the final statement prepared under Rule 22.
Rule - 25. Filing of final accounts by Receiver.
(1)The Receiver shall file his account with the Registrar or the person appointed by him before the preparation of final statement and shall also deposit the balance of money if any in his hands, all books of accounts and all other records relating to the chit which has been wound up.
(2)The receiver may thereafter apply to the Registrar for a certificate of discharge from the duties as Receiver and for the vacating of his recognisance bonds entered into by him and the sureties, if any, on receipt of such application, the Registrar may pass orders of such discharge and vacating of the bonds and for the disposal of the final balance of the chit assets, if any.
Rule - 26. Disposal of records.
The books and papers of a chit which has been completely wound up and of the Receiver shall be retained or disposed of in such manner as the Registrar may direct.
Rule - 27. Meetings.
When the number of subscribers is large and the Registrar, whether on application of the Receiver or not, at any stage considers that a meeting of all such parties is necessary in order to ascertain their views in any matter, the Registrar may pass an order for holding such a meeting. The Registrar may direct the manner in which and the time and place at which the meeting shall be held and the Receiver shall convene and hold the meeting accordingly.
CHAPTER V FEES
Rule - 28. Table of fees.
The fees payable to the Registrar for matters specified in Section 62 and Section 63 shall be as set out in Appendix II and shall be paid in cash.
Rule - 29. Receipt for fees.
The Registrar shall grant receipts for all fees received by him.
Rule - 30. Refund of fees.
The Registrar may refund any fee paid to him in excess of the amount prescribed.
CHAPTER VI DISPUTES AND ARBITRATION
Rule - 31. Reference of dispute.
A reference of a dispute under Section 64 shall be made in writing to the Registrar in Form XII. Wherever necessary, the Registrar may require the party referring the dispute to him to produce a certified copy of the relevant records on which the dispute is based and such other statements or records as may be required by him, before proceeding with the consideration of such reference.
Rule - 32. Registrar's satisfaction regarding existence of a dispute.
Where any reference of a dispute is made to the Registrar or any matter is brought to his notice, the Registrar shall, on the basis of the reference (if any) made to him in Form XIV and the relevant records and statements submitted to him, record his decision together with the reasons therefor, whether he is or is not satisfied about the existence of a dispute within the meaning of Section 64. Such recording of decision shall be sufficient proof of the Registrar's satisfaction whether the matter is or is not a dispute as the case may be.
Rule - 33. Disposal of a dispute or reference to a nominee.
(1)Where the Registrar is satisfied that there is a dispute, the Registrar may decide the dispute himself or refer it for disposal to his nominee.
(2)The Registrar for his nominee shall take up for consideration any dispute, unless the parties concerned affix the court fees specified in Rule 57.
Rule - 34. Procedure for hearing and decision of disputes.
(1)The Registrar or his nominee shall record in the official language of State, the evidence of the parties to the dispute and the witnesses who attend. Upon the evidence so recorded and upon consideration of any documentary evidence produced by the parties, a decision shall be given by him in writing. Such decision shall be pronounced in the presence of the parties at once or on some future day, of which due notice shall be given to the parries.
(2)Where neither party appears when the dispute is called out for hearing, the Registrar or his nominee may make an order that it be dismissed for default.
(3)Where the opponent appears and the disputant does not appear when the dispute is called out for hearing, the Registrar or his nominee may make an order that the dispute be dismissed, unless the opponent admits the claims or a part thereof, in which case the Registrar or his nominee/as the case may be, made an order against the opponent upon such admission, and where, part only of the claim is admitted, may dismiss the dispute in so far as it relates to the remainder.
(4)Where the disputant appears and the opponent does not appear when the dispute is called out for hearing, then if the Registrar or his nominee is satisfied from the record and proceedings that the summons was duly served, the Registrar or his nominee, shall make his report of service on oath.
(5)The Registrar or his nominee may not ordinarily grant more than two adjournments to each party to the dispute at his request. The Registrar or his nominee may, however, at his discretion grant such further adjournments on payment of such costs to the other side and such fees as the Registrar or his nominee may direct.
(6)Any party to a dispute may apply for and obtain a certified copy of any order, judgment or award made by the Registrar or his nominee or payment of copying fees, at the rate prescribed in Appendix II.
Rule - 35. Summonses, notices, and fixing of dates place, etc., in connection with the disputes.
(1)The Registrar or his nominee, may issue summonses or notices at least fifteen days before the date fixed for the hearing of the dispute requiring,
(a)the attendance of the parties to the dispute and of witnesses, if any; and
(b)the production of all books and documents relating to the matter in dispute.
(2)Summons or notices issued by the Registrar or his nominee may be served through Process Server or Inspector of Chits or by any person employed in that behalf by Registered post.
(3)The official serving a summons or notice shall, in all cases in which summons or notice has been served, endorse or annex or cause to be endorsed on or annexed to, the original summons or notice, a return stating the time when, and the manner in which, the summons or notice was served, and the name and address of the person identifying the person served and witnessing the delivery or tender of the summons or the notice.
(4)The Officer issuing the summons or notice may examine the serving official on oath and may make such other further inquiry in the matter as he thinks fit and shall either declare that the summons or notice has been duly served or order it to be served in such manner as he thinks fit.
(5)The mode of serving summonses as notices and laid down in Sub-rule (1) to (4) shall mutatis mutandis apply to the service or summonses or notices issued by the Registrar or the person authorised by him, when acting under Section 46.
Rule - 36. Payment of fees for decisions of disputes.
(1)The Registrar or his nominee may take a dispute on file only if the application regarding reference for such dispute in Form XVI is affixed with Court fee stamps at the following scales, namely:
| Court fee Rs. P. | ||
|---|---|---|
| (1) | When the amount of the claim in dispute does not exceed Rs. 1000. | 25.00 |
| (2) | When such amount exceeds Rs. 1,000 but does not exceed Rs. 5,000 | 50.00 |
| (3) | When such amount exceeds Rs. 5,000 | 75.00 |
| (4) | Any other dispute | 100.00 |
(2)No document of any of the kinds specified below shall be filed before the Registrar or his nominee unless it is affixed with the proper Court fee stamp at the following rates.
| Court fee | ||
|---|---|---|
| Rs. P. | ||
| (a) | Vakalathnama | 2.00 |
| (b) | Application for adjournment | 10.00 |
| (c) | Application for interim stay or relief .. | 25.00 |
(3)(a) The Registrar or his nominee deciding any dispute may require the party or parties to the dispute to deposit such sum as may, in his opinion be necessary to meet the expenses, including payment of fees to the Registrar or his nominee.
(b)The Registrar or his nominee shall have power to order the fees and expenses of determining the dispute to be paid by the foreman out of his funds or by such party, or parties to the dispute, as he may think fit, according to the scale laid down by the Registrar, after taking into account the amount deposited as above.
(c)The Registrar may be general or special order specify the scale of fees and expenses to be paid to him or his nominee.
CHAPTER VII MISCELLANEOUS
Rule - 37. Appeal.
(1)An appeal under Section 70 or sub-sections (1) and (2) of Section 74 shall be prescribed in person or by registered post to the State Government or to such officer or authority as may be empowered by the State Government in that behalf.
(2)The appeal shall be in the form of a memorandum which shall be affixed with a court fee stamps of Rs. 100.00.
(3)Every appeal shall,
(a)specify the names and addresses of the appellant as well as the respondent;
(b)state by whom the order appealed against was made;
(c)set forth concisely and under distinct heads the grounds of objections to the order appealed against with a memorandum of evidence;
(d)state precisely the relief which the appellant claims; and
(e)give the date of the order appealed against.
Rule - 38. Hearing and disposal of the appeal.
(1)On receipt of the appeal, the appellate authority shall, as soon as possible examine it and ensure that,
(a)the appeal memorandum is affixed with court fee stamps of the value specified in Rule 41 (2);
(b)the person presenting the appeal has the locus standing to do so;
(c)it is made within the specified time limit; and
(d)it conforms to all the provisions of the Act and the rules.
(2)In the proceedings before the appellate authority, the appellant and the respondent may be represented by an agent holding a power of attorney or by a legal practitioner.
(3)The appellate authority, on the basis of the enquiry conducted and with reference to the records examined, pass such order on appeal as may seem just and reasonable.
(4)Every order of the appellate authority under Sub-rule (3) shall be in writing and it shall be communicated to the parties concerned and the Registrar.
Rule - 39. Period of retention of records by the Registrar.
The records of a chit including registers and books of account shall be preserved in the office of the Registrar for eight years (a) from the release of the security in the case of chits which are terminated and (b) from the date when the affairs of the chit are completely wound up in cases dealt with in Chapter X of the Act and if orders passed under that Chapter are appealable, from the date of disposal of the appeal.
Rule - 40. Register of records kept.
Every Registrar shall keep a separate register in which he shall enter particulars of all records relating to chits registered in his office.
Rule - 41. Power to compound offence.
Any officer empowered by the State Government may accept from any person, who has committed or is reasonably suspected to have committed an offence under this Act, a sum not exceeding rupees five thousand by way of composition for the offence which such person has committed or is suspected to have committed.
APPENDIX I - FORM I
[See Section 4(2) and Rule 3]
[Form of application to be used by a foreman for obtaining prior sanction to commence or conduct a chit.]
Place:
Date:
From
.....................................................................
.....................................................................
......................................................................
To
The Secretary to the Government
of...........................................................
OR
(The Authorised Officer by designation)
Sir,
(1)I.............................. son/wife/daughter of (here state profession or occupation) residing at I/We, the Chairman and Secretary respectively[2] on behalf of (name of the firm, company, co-operative society, etc.,) situate at/having its registered office at.............................. desire to commence and conduct a chit as foreman at (here specify the place with postal address in detail). Full particulars in this regard are given in the Annexure hereto.
(2)A certified true copy of the resolution passed by the Managing Committee/Board of Directors at its meeting held on the.............................. for commencing and conducting the chit in question is enclosed.
(3)I/We remit herewith a sum of Rs. (Rupees (in words)..............................only) being the fees prescribed for the purpose.
(4)I/We hereby certify that the aggregate chit amount of the chits run by me/us is Rs. (Rupees..............................) on the date of this application and does not exceed the aggregate chit amount prescribed by Section 13 of the Chit Funds Act, 1982 (Central Act No. 40 of 1982).
(5)I/We request you to accord your sanction for commencing and conducting the chit. On receipt of such sanction further steps for registration, etc., of the chit will be taken.
Yours faithfully,
Chairman,
Secretary.
Encls: Sheets @ for on behalf of
ANNEXURE
Statement of Particulars
(1)Name and address of the company/association of individuals/co-operative society/partnership/sole proprietorship (addresses of the Registered as well as the Head Office/Administrative Office, if any should be given)......
(2)Constitution i.e., whether incorporated as company/co-operative society or registered/unregistered association of individuals partnership/sole proprietorship (Also specify the provision of the Act under which incorporated/registered along with the date of the incorporation/registration).......
(3)Names and addresses of the branches/offices, if any.......
(4)Main objects of the institution (enclose a copy of the Memorandum and Articles of Association or as the case may be, of the Bye-laws or Rules regulating the activities of the institution).
(5)Names, occupations and residential addresses of the directors or as the case may be, of the promoters/members of the committee of management partners etc.
(6)Names and residential addresses of the Chief Executive Officer made two other officers immediately next to him, in the managerial set-up.......
(7)Names of the bankers and their addresses.......
(8)Names of the auditors and their addresses.......
(9)Particulars of the chit(s) to be started (such as the chit amount, duration of the chit, frequency of the draws, manner of draws, etc. Also attach a copy of the draft of the chit agreement to be entered into with the subscribers).......
(10)Places where the chit scheme(s) are proposed to be conducted.......
(11)Names and addresses of the associate companies/co-operative societies/associations of individuals/partnerships/sole proprietorships.
(12)Names, occupations and residential addresses of the directors or as the case may be, of the promoters/members of the committee of management, etc., of the institution/s) referred to in Item 11.
I/We solemnly declare that the facts stated herein and also in the enclosures are true to the best of my/our knowledge, information and belief. Dated this.................................. day of..................................19 at.......................
| Name(s) | Signature(s) |
|---|---|
| Designation(s) | |
| for and on behalf of....... [3] |
Note:
(i)In the space against any item is inadequate for furnishing full particulars, the required information should be given in separate sheets indicating the cross reference against the relative item of this statement.
(ii)A copy each of the latest available Audited Balance Sheet and Profit and Loss Account if any, should be attached.
APPENDIX I - FORM II
[See Section 8(4) and Rule 6]
Place:
Date:
The Registrar of Chits
.....................................
......................................
Dear Sir,
(1)In terms of sub-section (4) of Section 8 of the Chit Funds Act 1982 (Central Act No. 40 of 1982) we hereby seek your approval for appropriating a sum of Rs. (Rupee (in words)........................................) by withdrawal from the Reserve Fund of the company. This withdrawal has been necessitated by the following circumstances
(Here state the circumstances under which withdrawal from the Reserve Fund has become necessary).
(2)We enclose for your information a copy each of the Profit and Loss Account and the Balance Sheet for the last two accounting years as also a Proforma of the Balance Sheet and Profit and Loss Account for the current year ended..................... 19. A true copy of the resolution passed by the Managing Committee/Board of Directors on the.........................................for appropriation of the said sum from the Reserve Fund is also enclosed. We shall be glad to furnish such further information as may be required by you.
(3)We remit herewith a sum of Rs......................... (Rupees..............................................) being the fees prescribed for the purpose.
(4)We shall be glad if you will kindly grant us permission to withdraw a sum of...................................................................................................................................for the Reserve Fund.
Yours faithfully,
Chairman,
Secretary
[4]for and on behalf of (foreman/Company)
APPENDIX I - FORM III
[See Section 9(1) and Rule 7]
Place:
Date:
The Registrar of Chits
.....................................
.....................................
Dear Sir,
(1)By your letter dated the..................................you were pleased to grant me/us a certificate of registration to start a new chit of a chit amount of Rs.................................... and of a duration......... months.
(2)I/We have subsequently enlisted the required number of members and we hereby declare in terms of sub-section (1) of Section 9 the Chit Funds Act 1982 (Central Act No. 40 of 1982) that all the tickets specified in the Chit Agreement have been fully subscribed.
(3)I/We remit herewith a sum of Rs.................. (Rupees (in words).................................................................................) being the fees prescribed for the purpose of filing this declaration.
Yours faithfully,
Chairman,
Secretary
[5]for and on behalf of (Foreman)
APPENDIX I - FORM IV
[See Section 9(2) and Rule 8]
Certificate of Commencement of Chit
Place:
Date:
Office of the Registrar of Chits
........................................
............................................
I hereby certify that................................................ [6] is entitled to Commence and Conduct the Chit [7]............................................................................................................................., the chit agreement in respect of which was registered in my Office as Chit No.........of 19........... Given under my hand and seal, this............................................ day of........................................................19 at........................
Signature of Registrar
(Seal)
APPENDIX I - FORM V
[See Section 10(2) and Rule 9]
Place:
Date:
The Registrar
. ….................................
. ….................................
Dear Sir,
The Chit Funds Act, 1982
(Central Act No. 40 of 1982)
I/We …................................................................... the Foreman of the Chit/Chairman and Secretary on behalf of the foreman firm/company conducting the chit, the Chit Agreement bearing registration number…......................of 19 …..........has been registered in the Office of the Registrar of Chits,...............….….......…..do hereby certify that I/We have furnished to every subscriber of the chit a copy of the said chit agreement duly certified by me/us to be a true copy. The copies were furnished to each of the subscribers on …..................................
The date of obtaining the certificate of commencement of the said chit granted under sub-section (2) of Section 9 is …..................................
The first draw of the said chit was held on …..................................
Yours faithfully,
Place:
Date:
Chairman
Secretary
for and on behalf of (Foreman)
Strike out/delete whatever is not applicable
Insert the designation(s) as may be appropriate to the applicant.
APPENDIX I - FORM VI
[See Section 16 and Rule 10]
Notice to subscribers of Chit Number.............................of 19
Sir,
This is to inform you that the............................................................. draw in monthly/quarterly/half yearly/yearly Chit No............... 19.......... in which you are one of the subscribers will be held on............................ day.......................... (Month), 198..... at......................................... A.M./P.M. at (address)...................................... You may kindly make it convenient to be present at the draw in person or by your duly authorised agent.
Yours faithfully,
Secretary for and on behalf of (Foreman)
Strike out or delete whatever is not applicable. Insert such designation(s) as may be appropriate.
APPENDIX I - FORM VII
[See Section 23 and Rule 17(1)]
From of Register of subscribers to be maintained.
Office where the chit agreement of the chit is registered ….........................................................................................
The registration number and year of registration of chit agreement of the chit …..................................
| Sl. No. according to chit agreement | Name & full address of the subscriber | Date of signing the chit agreement subscriber | Date of receipt of the copy of the chit agreement by the | Chit subscriber | |
|---|---|---|---|---|---|
| Number of tickets | Amount | ||||
| 1 | 2 | 3 | 4 | 5 | 6 |
| Rs. |
| Name and address of the assignee | Date of Assignment | Assignment Number & fraction of tickets | Amount | Date on which the Foreman ecognized the assignment |
|---|---|---|---|---|
| 7 | 8 | 9 | 10 | 11 |
| Rs. |
Substitution
| Reason for the removal of subscriber | Date of removal | Name and address substituted of the subscriber | Date of substitution | Number and fraction of tickets | Amount | Date of Intimation of the substitution to the removed subscriber | Remarks |
|---|---|---|---|---|---|---|---|
| 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 |
| Rs. | |||||||
APPENDIX I - FORM VIII
[See Section 23 and Rule 17(2)]
Form of the Ledge to be maintained
Office where the chit agreement of the chit is registered …..................................
Registration number of the agreement …..................................
Section I Receipts and payments in respect of subscriber
Number of subscriber ….
Name of subscriber ….
Number of tickets taken ….
Chit amount …. Rs.
| Ledger Date | Number of instalment | On what account received or paid by the Foreman | Amount of subscription for each instalment | Dividend due to the subscriber for each instalment |
|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 |
| Rs. | Rs. |
| Amount paid by subscriber | Amount received back by -subscriber | General number in the day Book | Subscriber | Signature of the Foreman | Remarks | |
|---|---|---|---|---|---|---|
| Share amount | Interest | |||||
| 6 | 7 | 8 | 9 | 10 | 11 | 12 |
| Rs. | Rs. | Rs. |
Section II Deposit and withdrawal account of the Foreman …...........
Name of the bank in which money is deposited …..........
| Date | For what purpose deposited or withdrawn | Amount deposited | Interest accruing | Balance after each transaction | Amount withdrawn |
|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | 6 |
| Rs. | Rs. | Rs. | Rs. |
| Balance | Number of the day book | Signature of the Foreman | Remarks |
|---|---|---|---|
| 7 | 8 | 9 | 10 |
| Rs. |
APPENDIX I - FORM IX
[See Section 23 and Rule 17(3)]
Form of the Day Book to be maintained
Office where the chit agreement of the chit is registered...........................................................................................
Registration number of the chit agreement......................................................................................................................
Day Book
| Date | General number | On what account received or paid | Subscriptions | Interest | Receipts Withdrawal from Bank | Other items | Total receipts |
|---|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
| Rs. | Rs. | Rs. | Rs. | Rs. |
Reference to receipt in the receipt book
| Amount paid to subscriber | Expenditure Foreman's Commissions | Deposit in the bank | Other items | Total Expenditure | |
|---|---|---|---|---|---|
| 9 | 10 | 11 | 12 | 13 | 14 |
| Rs. | Rs. | Rs. | Rs. | Rs. |
| Balance | Reference to the page number of the voucher in the file of vouchers | Signature of foreman | Remarks |
|---|---|---|---|
| 15 | 16 | 17 | 18 |
| Rs. |
Note:
(1)The balance should be struck in column (15) at the close of each day. The monthly total of receipts and expenditure shall be struck at the end of each month.
(2)In column (2) each transaction shall be assigned a serial number. There shall be one separate set of serial numbers for each calendar year.
(3)If any amount is received from or paid to more than one Subscriber at a time the amount paid to or received from each subscriber should be entered as a separate item.
(4)If more than one amount is received from or paid to the subscriber at a time each amount paid to or received from the subscriber should be entered as separate item.
APPENDIX I - FORM X
[See Section 23 and Rule 17(4) and 18]
Form of the Receipt Book to be maintained
Original
_____________ Receipts Serial Number
Duplicate
Received from…......................................................................to the credit of ….................................... the amounts detailed below in respect of the chit agreement registered under number…...................of…...................19…....
| Rs. | Ps. | ||
|---|---|---|---|
| Payment for current instalment | …. | …. | |
| Arrears of subscription (with details) | …. | …. | |
| Penalty for overdue subscription | …. | …. | |
| Fees for inspection of records | …. | …. | |
| Other receipts (to be specified) | …. | …. | |
| Total | …. |
(In words Rupees ….................................................................. Paise …...................)
Date:
for and on behalf of Foreman
Note.
Strike out/delete whatever is not applicable.
Insert the designation(s) as may be appropriate to the applicant.
APPENDIX I - FORM XI
[See Rule 20(2)]
| Name of the Foreman | ||
|---|---|---|
| (i) Office where the bye-laws of the chit are registered | (i) | Registration number and year of the Bye-laws of the Chit. |
| (ii) Date of which the balance sheet was prepared | (ii) | Name of the Foreman |
| (iii) Number of instalments conducted till date of Balance Sheet. | (iii) | Chit amounts |
| (iv) | Number of instalments |
| I. Receipts and Expenditure | |||||
|---|---|---|---|---|---|
| Receipts | Current | Total including previous Years | Expenditure | Current | Total including previous Years |
| 1 | 2 | 3 | 4 | 5 | 6 |
| Rs. P. | Rs. P. | Rs. P. | Rs. P. | ||
| 1. Subscriptions paid by the prized and non | ....... | ...... | 1. Prize amounts disbursed to prized subscribers | ...... | ...... |
| 2. Receipts under dividend | ...... | ...... | 2. Interest paid to subscribers | ...... | ...... |
| 3. Interest realised from the subscribers | ...... | ...... | 3. Amounts paid to defaulter non-prized subscribers | ...... | ...... |
| 4. Contributions by substituted or assignee non-prized subscribers in respect of dues of defaulters | ...... | ...... | 4. Amount contributed by Foreman for payment of the prize amount. | ...... | ...... |
| 5. Any other amount received from subscribers. | ...... | ...... | 5. Foreman's commissions | ...... | ...... |
| 6. Amount contribution by the Foreman for payment of prize amount | ...... | ...... | 6. Amounts on account of interest realised for delayed payments and forfeited dividend | ...... | ...... |
| 7. Interest accrued from investments | ...... | ...... | 7. Dividend paid | ...... | ...... |
| ...... | ...... | 8. Sinking Fund | ...... | ...... | |
| 8. Other items (details to be annexed) | ...... | ...... | 9. Other items (Details to be annexed) | ...... | ...... |
| 9. Investments withdrawn | ...... | ...... | Total expenditure ................ | ...... | ...... |
| ...... | ...... | 10. Investment made | ...... | ...... | |
| Grand total | ...... | ...... | Grand total | ...... | ...... |
| II. Statements of Assets and Liabilities | |||
|---|---|---|---|
| Assets | Rs. P. | Liabilities | Rs. P. |
| 1. Amount due an account of arrears of subscription due from prized subscribers | ...... | 1. Amount paid by non-prized subscribers (including dividend) | ...... |
| 2. Amounts due from the subscribers including the Foreman towards future subscriptions | ...... | 2. Amounts due to non-prized defaulter subscribers | ...... |
| 3. Interest due from defaulter subscribers | ...... | 3. Arrears of prize amounts due to prized subscribers | ...... |
| 4. Investments in bank (including interest thereon) | ...... | 4. The amounts due to the Foreman towards contributions made by him for payment of prize amount | ...... |
| 5. Other items (details to be annexed) | ...... | 5. Other items (details to be annexed | ...... |
| 6. Sinking fund | ...... | 6. Sinking fund | ...... |
III. Details of Investments
| Receipts | Rs. P | |
|---|---|---|
| 1. | Investment made on account of the failure on the part of prized subscribers to receive the prized amount due to them. | ...... |
| 2. | Investment made on account of lump-sum collection made from defaulter prized subscribers. | ...... |
| 3. | Amount deposited for payment to non-prized defaulter subscribers. | ...... |
| 4. | Investments on account of other items of receipts of the chit (details to be annexed). | ...... |
| Total | ...... |
IV. Assessment of Value of Investment
(1)Investment in Pass Book Account Number.
(2)[8]Amount due from the future instalments of the Chit as per bonds, etc., obtained for.......;....... instalments of the chit including the arrears of Rs.................. due on account of defaulting instalments from defaulters.
(3)Balance of contributions due from the Foremen on account of prize amount received by him.
Note. To facilitate audit of balance sheets, the following statements of details should be annexed by the Foreman to the balance sheet.
(i)Statement of details of receipts and expenditure for each instalment.
(ii)Of disbursement.
(iii)Of the prize amount in respect of each instalment, and
(iv)Statement of details of arrears due on the date of the preparation of the balance sheet from the prized and non-prized Subscribers.
Security offered by the Foremen, hypothecation bonds, etc., executed under Section 20, and hypothecation bonds, etc., obtained from the prized subscribers under Section 31 of the Act.
V. Certificate by Foreman
I certify that the above accounts have been prepared correctly and that they contain a true and complete statement of affairs of the chit.
Date:
Name and signature of the Foreman.
VI. Certificate by Auditor
Certified that I have examined the Chit Books and Records maintained in respect of the chit......................the bye-laws of which have been registered in................ as number................ 19.......... conducted by Foreman............................and have verified the entries in the accounts with the books. The accounts are drawn up in conformity with the provisions of the Chit Funds Act, 1982 and the Rules framed thereunder.
Date:
Name and signature of the Auditor
APPENDIX I - FORM XII
[See Section 64 and Rule 31]
Application for reference of a dispute to arbitration before the Registrar/Additional/Joint/Deputy/Assistant Registrar.
| 1. Name : | Age : | |
|---|---|---|
| Occupation : | Address : | |
| 2. Name : | Age : | |
| Occupation : | Address : | |
| 3. Name : | Age : | |
| Occupation : | Address : | Disputants. |
| Versus : | ||
| 1. Name : | Age : | |
| Occupation : | Address : | |
| 2. Name : | Age : | |
| Occupation : | Address : | |
| 3. Name : | Age : | |
| Occupation : | Address : | Opponents |
(Here give full particulars of the claim or the facts of the case constituting the cause of action when it arose etc.)
The disputant/disputants prays/pray as under:
............................................
............................................
In support of the above claim or relief sought, I/We enclose documents and paper as per the list annexed hereto.
Date:
(Signed).....................................
Disputant/Disputants,
I/We................................................ disputant/disputants declare that the facts stated above are true to the best of my/our knowledge and belief.
Date:
(Signed)(1)..................
(2)..................
Disputants
(3)..................
Filed in the office of....................................on.......................19
Note:
(1)In case there are more disputants or Opponents their names, addresses, ages and occupations should also be mentioned.
(2)In disputes relating to monetary claims, the disputants should state the precise amount claimed but where this cannot be exactly ascertained the disputants shall state the approximate amount claimed.
(3)When the disputant-foreman is a company/co-operative society or a partnership firm, a copy of the resolution of its Board of Directors or as the case may be Managing Committee shall accompany the application.
APPENDIX II
[See Section 62, 63 and Rule 28]
Levy of fees under Section 62 and 63 of the Chit Funds Act, 1982, (Central Act No. 40 of 1982)
Tables of Fees
| Rs. P. | ||
|---|---|---|
| 1. | For the application of previous sanction to commence of conduct a chit under sub-section (2) of Section 4. | 100.00 |
| 2. | For filing of a chit agreement under sub-section (1) Section 7 for each agreement. | 1.00 |
| 3. | For issue of certificate of commencement of chit business under sub-section (2) of Section 9. | 50.00 |
| 4. | For filing of a certificate under sub-section (2) of Section 10. | 1.00 |
| 5. | For filing a copy of the minutes of the proceedings under Section 17 per auction minutes. | 1.00 |
| 6. | For every application for registration of an alteration, addition or omission of any provision in a chit agreement under sub-rule (1) of Rule 14. | 10.00 |
| 7. | A fee shall be levied in each case for filing with the Registrar. | |
| (a) A copy of each entry relating to the removal of defaulting subscribed under sub-section (3) of Section 28. | 10.00 | |
| (b) a true copy of each entry relating to the substitution of a subscriber under sub-section (2) of section 29. | 2.00 | |
| (c) a true copy of entry relating to transfer of the rights of foreman under Section 37. | 2.00 | |
| (d) a copy of entry relating to transfer of non-prized subscriber's rights under Section 37. | 2.00 | |
| (e) a true copy of assent of non-prized subscribers and unpaid prized subscribers for withdrawal of foreman under Section 41. | 10.00 | |
| (f) a true copy of consent of all non-prized or unpaid prized subscribers to the termination of chit under Section 41. | 10.00 | |
| (g) each petition protesting against or objection to the orders passed or proposed to be passed by the Registrar. | 25.00 | |
| 8. | If the balance sheet is audited under Section 24, or the chit books and records inspected by the Registrar or any officer authorised by the Registrar under Section 46 or the accounts books and other records of the chit audited by the Chit Auditor at the premises of the foreman or outside the office of the Registrar, for each such audit or inspection. | 100.00 |
| 9. | For inspection of one or more records relating to a chit under Section 62 for each inspection. | 10.00 |
| 10. | For every 100 words or fraction thereof of a copy or extract of the records relating to a chit furnished under Section 62. | 1.00 |
| 11. | For every 100 words or fraction thereof a certified copy of any order, judgment or award made by the Registrar or his nominee under Section 69. | 1.00 |
| 12. | For every appeal to the State Government under Section 74. | 25.00 |
[1] Substituted by GSR 200, dated 28-7-1986 w.e.f. 28-7-1986.
[2] Here enter the name of the applicant institution, if any. Strike out whatever is not applicable.
[3] Here enter the name of the applicant institution, if any. Strike out whatever is not applicable.
[4] Here enter the name of the applicant/company.
[5] Strike out or delete whatever is not applicable. Insert such designation(s) as may be appropriate to the applicant.
[6] Here enter the name of the foreman.
[7] Here mention the chit amount and duration, etc., of the chit/s.
[8] Particulars of documents to be entered here.