THE HON’BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.825 of 2011 In Company Petition No.13 of 2002 (Dated : 28-9-2011) Between: M/s. Mamatha Chit Fund (P) Ltd. (in liquidation) Rep. by the Official Liquidator, High Court of A.P., Hyderabad. ...Applicant A n d Sri Polenotina Nagender (Died) per LRs. Sri G.Yadagiri Reddy and others ...Respondents THE HON’BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.825 of 2011 In Company Petition No.13 of 2002 ORDER: This 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 read with Rule 9 and 11(b) of the Companies (Court) Rules, 1959 seeking a decree against the respondents 2 to 5 for a sum of Rs.12,000/- along with interest at 12% per annum from 8-7-1999 till the date of realization. 2. This Court, by order dated 20-3-2002 made in C.P.No.13 of 2002 appointed the Official Liquidator attached to this Court as provisional liquidator of M/s. Mamatha Chit Fund (P) Ltd. As per the records of the company (in provisional liquidation), the 1st respondent-Polenotina Nagender joined as a subscriber to Ticket No.06 of Chit Group No.ST10F valued at Rs.1,00,000/-. The duration of the chit was 25 months at the rate of Rs.4,000/-each and it commenced in the month of October 1997. He became the prized subscriber and received an amount of Rs.59,317-80 paise against the bid amount of Rs.81,990/- by way of cheque No.532833, dated 27-7-1999 after deducting an amount of Rs.22,672-20 paise towards arrears of subscription dues in respect of Ticket No.ST10F/05 & 06 and ST17E/03 vide Report Nos.84345 to 347 dated 8-7-1999 and verification fee in respect of the prized Ticket. Respondents 2 to 4 herein stood as sureties to the 1st respondent. The 1st respondent paid chit subscription amount of Rs.88,000/- for 22 months for the period from 04-12-1997 to 08-7- 1999. He committed default in paying the balance amount of Rs.12,000/-. 3. The Official Liquidator by notice dated 16-6-2003 demanded the 1st respondent to pay the amount due under the above-referred chit. Notice sent to the 1st respondent returned un-served with an endorsement “Addressee Expired”. The 5th respondent came to be impleaded as legal representative of the 1st respondent. Hence this application seeking a decree against respondents 2 to 5 jointly and severally, for a sum of Rs.12,000/- with interest at 12% per annum . 4. Notice to the respondents came to be ordered on 12-8- 2011. 5. The 5th respondent paid Rs.12,000/- by way of D.D drawn on State Bank of Hyderabad on 4-7-2011 to the Official Liquidator along with a representation. It is stated in the representation that her husband died on 3-6-2004 and that she is unable to pay the interest amount and therefore, she seeks waiver of interest. 6. Heard learned counsel appearing for the applicant and perused the material brought on record. 7. The company went in liquidation even before expiry of the chit period. The prized subscriber expired on 3-6-2004. His wife, who has been arrayed as respondent No.5 responded to the notice and paid Rs.12,000/- by way of D.D. and sought for waiver of interest. Since the 5th respondent paid entire amount of Rs.12,000/-, it is deemed that the debt has completely been discharged. Keeping in view the facts and circumstances, I am inclined to grant waiver of interest on the principle amount. 8. Accordingly, the Application is dismissed as redundant. No costs. _____________________ B.SESHASAYANA REDDY, J Dt.28-9-2011 *RAR