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2026 Supreme(Online)(Tel) 12118

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
Surepalli Nanda, J
Mohammad Imam Pasha – Appellant
Versus
State of Telangana – Respondent
WRIT PETITION No.9988 OF 2026



Advocates:
For the Appellants/Petitioners: P. Rama Sharana Sharma
For the Respondents: Assistant Government Pleader for Revenue

The court directed the statutory authority to consider and dispose of a pending appeal and stay application filed under Section 70 of the Chit Funds Act, 1982, on merits within four weeks.

Headnote:(A) Administrative Law - Writ of Mandamus - Failure to adjudicate statutory appeal - Direction to dispose of appeal and interlocutory applications within a stipulated timeframe to ensure justice. (Para 2, 5)

(B) Chit Funds Act, 1982 - Section 70 - Appeal against Arbitrator's Award - Right of the petitioner to have the appeal and stay application decided on merits in a timely manner. (Para 5, 6)

Issues: Whether the respondent is obligated to adjudicate the appeal filed under Section 70 of the Chit Funds Act within a specific timeframe.

Table of Content
1. petitioner seeks mandamus for failure of the authority to hear a statutory appeal against an arbitration award. (Para 1 , 2 , 3 , 4)
2. parties agree on the necessity for the expeditious disposal of the pending statutory appeal. (Para 5 , 6)
3. the court mandates the disposal of the appeal and stay application on merits within four weeks. (Para 7)

ORDER

Heard Sri P. Rama Sharana Sharma, learned

counsel appearing on behalf of the petitioner, learned Assistant Government Pleader for Revenue, appearing

on behalf of respondent Nos.1 to 3.

2. The petitioner approached the Court seeking

prayer as under:

“…to pass an order or direction or writ more particularly in the nature of Mandamus duly declaring the action of the 1st respondent in not considering the appeal filed under Section 70 of the Chit Funds Act

2

SN,J W.P. No.9988 of 2026

dated 23.12.2023, as against the award passed by the sole Arbitrator in Arbitration Case No. 606 of 2019 by the sole Arbitrator as illegal, arbitrary and against the principles of natural justice and consequently, direct the 1st respondent to adjudicate the appeal as well as the interlocutory application for stay within a specific

time in the interest of justice and to pass...”

3. The case of the petitioner, in brief as per the averments made in the affidavit filed by the petitioner

in support of the present Writ Petition is as under:-

The petitioner joined in the Chit Fund Company with

the respondent No.4 in Group No. KNTO5M-3 and became successful bidder in the auction held on 28.04.2017. The respondent No.4 did not release the chit amount to the petitioner. The respondent No.4 started deducting the bid installments from the petitioner from the month of May, 2017 itself. The respondent No.4 filed Arbitration Case and Execution Petition against the petitioner. The petitioner filed appeal before the respondent No.1 herein along with stay petition seeking stay of operation of the Award. Aggrieved by the action of the 1st respondent in not considering the appeal against the award passed by the sole

3

SN,J W.P. No.9988 of 2026

Arbitrator in Arbitration Case No.606 of 2019, the petitioner had approached this Court by filing the present writ petition.

4. PERUSED THE RECORD

DI SCUSSI ON AND CONCLUSI ON :

5. The learned counsel appearing on behalf of the petitioner submits that aggrieved against the award passed by the sole Arbitrator in Arbitration Case No.606 of 2019 dated 30.04.2019, the petitioner preferred appeal under Section 70 of Chit Fund Act, 1982 before the 1st respondent on 23.12.2025 along with I.A. seeking stay of the operation of the award dated 30.04.2024 passed in Arbitration Case No.600 of 2019 on the file of Chit Arbitrator/Deputy Registrar of Chits at Karimnagar. The matter had not been heard as on date and therefore, appropriate orders may be

passed in the interest of justice.

6. The learned Assistant Government Pleader for Revenue appearing on behalf of respondent Nos.1 to 3 does not oppose passing of orders for expeditious disposal of the appeal filed by the petitioner under

4

SN,J W.P. No.9988 of 2026

Section 70 of the Chit Fund Act, 1982, dated 23.12.2025 before the 1st respondent herein aggrieved against the aw ard passed by the Sole Arbitrator in Arbitration Case No.606 of 2019, dated

30.04.2019.

7. Taking into consideration :

(a) The aforesaid facts and circumstances of

the case,

(b) The submissions made by the learned

counsel appearing on behalf of the petitioner and learned Assistant Government Pleader for Revenue,

appearing on behalf of respondent Nos. 1 to 3,

(c) The aw ard dated 30.04.2024 passed by the

Chit Arbitrator/ Deputy Registrar of Chits at

Karimnagar,

(d) The fact that petitioner has preferred the

appeal against the said Aw ard dated 30.04.2024 passed in Arbitration Case No.606 of 2019 before the Chit Arbitrator/ Deputy Registrar of Chits at

5

SN,J W.P. No.9988 of 2026

Karimnagar dated 23.12.2025 is the 1st respondent

herein.

The w rit petition is disposed of directing the

respondent No.1 to co

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