BEFORE THE  

F.A.No. 252 

Between

1.  The Manager
M/s Sri Venkataraya Chit Fund Pvt Ltd.,
Arasavalli Road, Srikakulam

2.  The Managing Director
M/s Sri Venkataraya Chit Fund Pvt Ltd.,
Dr.No.12-43-5, Behind Green Land,
Bypass Road, Tanuku, West Godavari District

3.  The Assistant General Manager
M/s Sri Venkataraya Chit Fund Pvt Ltd.,
Dr.No.12-43-5, Behind Green Land,
Bypass Road, Tanuku, West Godavari District

Appellants/opposite parties

Malla Manmadha Rao S/o late Anandha Rao
aged 37 years, Business, Udayapuram Street
Palasa Town and Mandal, Srikakulam Dist.

                                                       Counsel for the Appellant             

Counsel for the Respondent  

 QUORUM:       SRI R.LAKSHMINARSIMHA RAO, HON’BLE MEMBER

TWO THOUSAND THIRTEEN

1.`4,70,000/- with interest @15% p.a. from 31.-1.2009 till payment and a sum of`10,000/- towards compensation and an amount of`2,000/- towards costs.

2.    The respondent   `5,00,000/-   `10,000/-    `4,65,000/- after deducting subscription for the 50<sup>th</sup>`10,000/- and`25,000/- towards Foreman’s commission from the amount of`5,00,000/-. The respondent claimed incentive to the tune of 1% on account of his being member in the branch opening group and having paid the subscription regularly he is entitled to`4,75,000/-. He got issued notice dated 31.-3.2010 with demand to pay the amount of`4,75,000/-.

3.       `25,000/- towards foreman’s commission and bid loss and`9,986/- towards subscription for 50^th`4,65,014/-.`10,915/- and after adjusting the amount of`10,915/- the respondent would get an amount of`4,54,099/- and the appellant paid`1,00,000/- to the respondent on 3.07.2010 and`50,000/- on 20.01.2011 and the balance amount is to be paid is`3,04,099/-. It is submitted that the appellant has no dishonest intention or laches on its part to pay the amount to the respondent.

4.    The Office Assistant of the appellant company, 

5.    the appellant-chit fund company on the premise that the appellant failed to pay the amount due to the respondent after expiry of the chit period and the amount of`1,50,000/- said to have been paid to the respondent is not proved to be paid to the respondent. The District Forum directed the appellant to pay`4,70,000/- with interest @ 15% together with compensation of`10,000/- and costs of`2,000/-.

6.    Aggrieved by the order of the District Forum, the opposite party has filed appeal contending that the District Forum had not considered the evidence in correct perspective and that`10,915/- due from the respondent in another chit LT3VSE-42, the amount payable to him is`4,54,099/- and after deducting the amount `1,50,000/-, the amount to be paid to him is`3,04,099/-and that the District Forum failed to see that the respondent had not issued notice prior to filing of the complaint.

7.    

8.            ?

2.

9.    :    `5,00,000/-. `10,0,00/- payable in 50 months. After termination of the chit, deducting the`25,000/- the amount payable to the respondent is`4,75,000/- and from the amount, the amount due to the appellant has to be deducted. `10,915/- in chit group bearing number LT3VSE-42 and the 50<sup>th</sup>`9,986 and after deducting the amounts, the net amount payable to the respondent is`4,54,099/-

10.   th`1,00,000/- on 3.07.2010 and a sum of`50,000/- on 20.01.2011.  `10,915/- in chit group bearing number LT3VSE-42 and the appellant had to adjust the amount by due process of law. He has stated:

“---It is incorrect to contend that I am due to the tune of Rs.10,915/- in another chit.  

11.   `10,915/-`10,915/-, the appellant ought to have paid the amount of`4,54,099/- to the respondent which the appellant failed to pay and the respondent claimed a sum of`60,000/- towards compensation on account of the appellant retaining the amount due to him even after expiry of the chit period.

“Later, it is clear to me that with a dishonest intention to deceive me, the opposite parties have received the subscription amounts luring me with so many sweet words and slogans that I will be benefited by their chit fund schemes.   st ndrdopposite parties have refused to receive the notice of the reasons best known to them.     

12.   `1,00,000/- on 3.07.2010 and `50,000/- 20.01.2010 which payment was made subsequent to receipt of the notice dated 31.03.2010 `1,50,000/- retaining the balance amount of`3,04,099/- with it stating that it had no dishonest intention to retain the amount and has been ready to pay the amount to the respondent.

13.   `4,70,000/- to the respondent.in view of foregoing discussion, the appellant is liable to pay an amount of`3,04,099/-.

14.            `3,04,099/- with interest @9% p.a. from 31.01.2009 till payment. Rest of the order is confirmed. There shall be no separate order as to costs. Time for compliance four weeks.

కె.ఎం.కె*