THE HONOURABLE DR.JUSTICE G.RADHA RANI CIVIL REVISION PETITION No.2651 of 2023

O R D E R:

This Civil Revision Petition is filed by the petitioners – opponents 1 and

2 aggrieved by the award and recovery certificate passed in AA/CF/No.566 of

2019 on the file of the Deputy Registrar of Chits, Warangal dated 13.11.2020.

2. The respondent No.1 filed an application before the respondent No.2 seeking an award to be passed under Section 69 of the Chit Funds Act, 1982 for recovery of an amount of Rs.3,34,788/- along with interest @ 18 % per annum on the principal amount of Rs.3,03,680/- from the date of filing of the dispute till the date of realization. By the award dated 13.11.2020, the Deputy Registrar directed all the opponents jointly and severally to pay the said amount. The recovery certificate was issued under Section 71 and Rule 55 of the AP Chit Funds Act, 1982, holding that in default of payment of the said amount, the same can be recovered by sale of movable or immovable properties or by attachment of salaries of the opponents.

3. Aggrieved by the said award and issuance of recovery certificate, the petitioners filed this revision contending that no notice was issued to the petitioners and without giving any opportunity of hearing, the award and recovery certificate was passed by the Deputy Registrar of Chits, Warangal and as such prayed to set aside the same.

4. Notice was issued to the respondents 1 and 2. The same was served on them. The learned counsel for the petitioners filed proof of service of notice on respondents 1 and 2 along with track report. But there is no representation for them.

5. Heard the learned counsel for the revision petitioners.

6. Sri K.Venumadhav, learned counsel for the revision petitioners submitted that the Deputy Registrar of Chits, Warangal failed to follow the procedure enunciated under Rule 50 of the AP Chit Fund Rules, 2008 in issuing notices to the petitioners. No reasons were assigned by the Deputy Registrar of Chits, Warangal as to how the said amount was to be paid by the petitioners and on what basis the amount was decided and relied upon the Division Bench judgment of this Court in C.R.P.No.1386 of 2015 dated 13.04.2015 and a Single Bench judgment of this Court in C.R.P.No.709 of 2023 dated 30.06.2023.

7. Considering the submissions of the learned counsel for the revision petitioners and on perusal of the judgments relied upon by the learned counsel, as the petitioners were now ready to appear before the Deputy Registrar of Chits, Warangal and to contest the matter, it is considered fit to set aside the ex-parte award and recovery certificate dated 13.11.2020 in AA/CF/No.566 of

2019 on the condition that the petitioners shall appear either in person or through their counsel before the Deputy Registrar on 06.11.2023. On such appearance, the Deputy Registrar shall hear both sides and pass an award afresh in accordance with law. In case, the petitioners did not appear either in person or through their counsel before the Deputy Registrar on the said date, it would be open to the Deputy Registrar to pass an award afresh in accordance with law within a period of two (02) months from the said date.

8. In the result, the Civil Revision Petition is disposed of setting aside the ex-parte award and recovery certificate passed by the Deputy Registrar of Chits, Warangal dated 13.11.2020 dated 13.11.2020 in AA/CF/No.566 of 2019 with the above directions. No order as to costs.

As a sequel, miscellaneous applications pending in this Revision Petition, if any, shall stand closed.

____________________ Dr. G.RADHA RANI, J Date: 11^th October, 2023 Nsk.