THE HON'BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.333 of 2011 11th November, 2011 Between :- M/s.Mamatha Chit Fund (P) Ltd (In Prov.Liqn) Rep.by the Official Liquidator, High Court of A.P., Hyderabad .. Applicant And Mohd.Akbaruddin and others .. Respondents THE HON'BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.333 of 2011 ORDER:- This application has been taken out by the Official Liquidator representing M/s.Mamatha Chit Fund (P) Ltd (In Prov.Liqn) under Section 446(2)(b) of the Companies Act, 1956 read with Rules 9 and 11 (b) of the Companies Court Rules, 1959, seeking a decree against the respondents, jointly and severally, for a sum of Rs.7,000 along with interest at 12% w.e.f. 13-7-2000 till the date of realisation. This Court by order dated 20-3-2002 made in Company Petition No.13/2002 appointed the Official Liquidator attached to this Court as Provisional Liquidator of M/s.Mamatha Chit Fund (P) Ltd. The Official Liquidator took charge of the available records of the Company (in Prov.Liqn). As per the records, the 1st respondent became the prized subscriber to ticket No.35 of Chit Group No.LP18E in the auction held on 19-12-1999. The value of the said chit group is Rs.50,000/- with a duration of 50 months at Rs.1,000/- each. The chit group commenced in the month of January, 1997. The 1st respondent received the prize amount of Rs.36,550/- as against the bid amount of Rs.36,700/- vide cheque No.791392 dated 15-2-2000. Respondents No.2 to 4 stood as sureties to the 1st respondent in respect of the above prized chit. The respondents executed a promissory note in favour of the Company (in Prov.Liqn). As per the Chit Ledger Record of the Company (in Prov.Liqn), the 1st respondent herein paid chit subscription amount of Rs.43,000/- for 43 months for the period from 26-2-1997 to 13-7-2000. The balance amount payable by the 1st respondent is Rs.7,000/-. The Official Liquidator issued notices to the respondents demanding them to pay the amount due under the chit. Since they failed to liquidate the liability, the Official Liquidator filed this application seeking a Decree against them for Rs.7,000/- along with interest at 12% per annum w.e.f. 13-7-2000 till the date of realization. Notices to respondents came to be ordered on 29-3-2011. Notice sent to the 1st respondent returned unserved with an endorsement “addressee expired”. Applicant filed C.A.No.803 of 2011 to bring on record respondents No.5 and 6 as legal representatives of R.1 and the said application came to be allowed on 2-8-2011. Despite notice being served on the respondents No.3 to 5, they did not choose to enter appearance. Though 2nd respondent entered appearance through a Counsel, no counter has been filed resisting the claim of the applicant. Affidavit of R.Ramakrishna Reddy in lieu of Chief Examination has been filed. 20 documents have been placed on record and they have been marked as Exs.A.1 to A.20. Heard the learned Counsel appearing for the applicant and perused the evidence of P.W.1 and Exs.A.1 to A.20. As per Certified True Copy of Chit Ledger Foli – Ex.A.12, the 1st respondent paid 43 instalments and committed default in paying the rest of the instalments. The Official Liquidator issued notice to the 1st respondent calling him to pay the amount due under the chit. Ex.A.14 is the certified true copy of Notice dated 24-3-2003. Ex.A.15 is the postal acknowledgment. The Official Liquidator also issued notices to respondents No.1 to 4. Ex.A.16 is the office copy of the notice. The evidence of P.W.1 and Exs.A.1 to A.20 substantiate the claim of the applicant against respondents 2 to 6. Accordingly, the application is allowed with costs granting a Decree in favour of the applicant and against the estate of respondent No.1 – Mohd.Akbaruddin in the hands of respondents No.5 and 6, and also against respondents No.2 to 4, jointly and severally, for a sum of Rs.7,000/- with interest @ 12% per annum w.e.f. 13-7-2000 till the date of realization. _________________________ B.Seshasayana Reddy, J 12th July, 2011 smr