THE HON’BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.216 of 2011 Date:07th June, 2011 Between: M/s. Mamatha Chit Fund (P) Ltd. (in provisional liquidation) Rep. by the Official Liquidator, High Court of A.P., Hyderabad. …Applicant and 1.Sri Koduri Murali Mohan & Ors. …Respondents *** THE HON’BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.216 of 2011 ORDER: This Company Application has been taken out by the Official Liquidator representing M/s.Mamatha Chit Fund (P) Ltd. (in provisional liquidation) under Section 446(2)(b) of the Companies Act, 1956 r/w. Rules 9 and 11(b) of the Companies (Court) Rules, 1959, seeking a decree against the respondents for a sum of Rs.3,980/- with interest @ 12% p.a. w.e.f. 11.07.1999 till the date of realisation. 2. By order, dated 20.03.2002, passed in Company Petition No.13 of 2002, the Official Liquidator attached to this Court was appointed as provisional liquidator of M/s.Mamatha Chit Fund (P) Ltd., (in provisional liquidation). The 1st respondent joined in the chit group No.SP-24B with ticket No.9 conducted by the Company (in provisional liquidation). The value of the chit is Rs.10,000/- with a duration of 20 months at the rate of Rs.500/- per month each. The 1s t respondent became the prized subscriber in the auction held on 25.07.1999 and received an amount of Rs.7,900/- against the bid amount of Rs.8,800/- . He paid 12 instalments at the rate of Rs.500/- . Subsequently, he committed default in payment of instalments. The amount due as per the chit ledger extract is Rs.3,980/-. The respondents 2 and 3 stood as sureties to the 1st respondent for the prized chit amount. Hence, this Company Application by the Official Liquidator seeking a decree against the respondents as stated supra. 3. Notice to the respondents came to be ordered on 21.03.2011. The Official Liquidator took out notice to the respondents by registered post with acknowledgment due and filed proof of service. Notice sent to the respondents 1 and 3 returned unserved with an endorsement ‘unclaimed’. In view of the said endorsement, the service of notice on the respondents 1 and 3 is deemed to have been effected. Though, the 2nd respondent received notice, he did not choose to enter appearance either in person or through a counsel. 4. The applicant filed affidavit of Mr.R.Ramakrishna Reddy, in lieu of chief-examination, and produced 21 documents, which have been marked as Exs.A1 to A21. 5. Heard learned counsel appearing for the Official Liquidator and perused the affidavit of Mr.R.Ramakrishna Reddy and Exs.A1 to A21. 6. The first respondent became the prized subscriber of the chit group No.SP-24B with ticket No.9 conducted by the Company (in provisional liquidation) and received an amount of Rs.7,900/- against the bid amount of Rs.8,800/-. The Respondents 2 and 3 stood as sureties for the first respondent in respect of the prized chit with Ticket No.9. The 1st respondent paid 12 instalments at the rate of Rs.500/- and subsequently committed default in paying the rest of the instalments. Ex.A9 is the Photostat copy of the chit ledger. As per the chit ledger extract, the 1st respondent paid 12 instalments. Total amount paid by the 1st respondent is Rs.6,020/-. Balance to be recovered from the first respondent is Rs.3,980/-. The evidence of PW.1 and the documents placed on record substantiated the claim of the applicant against the respondents 1 to 3. 7. Accordingly, the Company Application is allowed with costs granting a decree in favour of the applicant and against the respondents for a sum of Rs.3,980/- with interest at the rate of 12% p.a. w.e.f. 11.07.1999 to this day and at the rate of 6% p.a. from this day to the date of realisation. _____________________ B.SESHASAYANA REDDY, J Date:07th June, 2011. cs THE HON’BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.216 of 2011 Date :07th June, 2011