Full text containing the act, Chit Funds Act, , with all the sections, schedules, short title, enactment date, and footnotes. A chit fund is a type of rotating savings and credit association system practiced in India. According to Section 2(b) of the Chit Funds Act, “Chit means a. 28 Feb BILL further to amend the Chit Funds Act, BE it enacted by Parliament in the Sixty-ninth Year of the Republic of India as follows:—. 1.
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A chit fund company is a company that manages, conducts, or supervises such a chit fund, as defined in Section of the Chit Funds Act, Provided further that no such company shall commence any new chit the duration of which would extend beyond the said period of three years or such extended period or periods under the first proviso unless it increases its paid-up capital to chif less than rupees one lakh.
Provided further that the foreman may appropriate to himself the interest accruing tunds the amount deposited under the second proviso to sub-section 1. Register now for your free, tailored, daily legal newsfeed service. The Chit Funds Act is here.
Removal of defaulting subscribers. This entry was posted on February 20, at 4: A chit fund comprises a group of members, called subscribers. Rights, privileges of none to be curtailed post NRC: In some variations of chit funds, the savings are for a specific purpose.
Power to enter chit funds act 1982 search any place and 19882 seize any documents.
Proposed Amendments in the Chit Fund Act, 1982
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Provided further that where the prize amount chit funds act 1982 been paid to the prized subscriber under the first proviso, the amount deducted shall be deposited by chit funds act 1982 foreman in an approved bank mentioned in the chit agreement and he shall not withdraw the amount so deposited except for the payment of future subscriptions. Foreman to demand future subscriptions by written notice.
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Proposed Amendments in the Chit Fund Act, – Lexology
You are commenting using your WordPress. The process repeats, distributing the auction amount to one member each month. Such a chit reduces costs, and relieves members from extra work in a busy festival season.
Assam finance minister Himanta Biswa Sarma. Fill in your details: Short title, extent and commencement. Provided that the State Government may permit the duration of a chit up to a period of ten years if it is satisfied that it is necessary so to do, having regard to,— a the financial condition of the foreman.
Provided that no application for execution under clause b shall be made after the expiry of three years from the date fixed in the order, and if no such date is fixed, from the date of the order. These chit companies provide employment to about 35, persons directly and an equal number indirectly. The concept of chit funds entered public consciousness in the 19th century when Raja Rama Varma, ruler of ufnds Cochin state gave a loan to a Syrian Christian trader, by keeping a certain portion of it tunds himself for chit funds act 1982 expenses and later he drew that money for the principle of equity.
Will renaming these fudns as fraternity funds lead to more community feeling and chit funds act 1982 business environment for the industry? Provided that if any such dispute is on a promissory note, no order shall be passed under chit funds act 1982 chir unless such promissory note expressly states that the amount due under the promissory note is towards the payment of subscriptions to the chit. Circumstances under which chits may be wound up. Nowadays, such special chit funds act 1982 funrs are conducted by jewellery shops, kitchenware shops, etc.
A chit fund is a type of rotating savings and credit association system practiced in India. Provided that in a case where the foreman has subscribed to more chit funds act 1982 one ticket, he shall 11982 be eligible to obtain more than one chit amount in a chit without discount.
Provided that the State Government may, chlt it considers it necessary in the public interest or for avoiding any hardship, extend the said period of three years in respect of any company by such further period or periods not exceeding two years in the aggregate: Provided that the State Government may, if it considers it necessary in wct public interest or for avoiding any hardship, extend the said period of three years by such further period or periods not exceeding one year in the aggregate.
the Chit Funds Act,
Disputes relating to chit business.