VIJAY BHARGAVI CHIT FUND P LTD Vs. K. NARSE RAO

JUDGEMENT

(1.) The opposite parties have filed the appeal challenging the order passed by the District forum whereby it was directed to withdraw the notice dated 17.2.2009 demanding payment of Rs.5,047/- and discharge respondent and the sureties from any liability with reference to the chit No.MTIRG-37 and pay Rs.3,000/- towards compensation and costs of Rs.2,000/-.

(2.) The brief averments of the complaint are that the respondent joined as subscriber in the appellants chit fund company in the chit bearing No.MTIRG:37 during the month of September 2005, the value of the chit being Rs.2 lakh, monthly subscription being 5,000/- and the duration of the chit was 40 months. The respondent was the successful bidder in the auction conducted during May 2007. The appellants had paid the chit amount in the month of July 2007. The respondent had paid the subscription regularly through out period of the chit. The appellants sent a letter dated 28.11.2008 to the respondent informing him that he had still due to pay an amount of Rs.21,545.50 towards the installments of September to December 2008. On receipt of the said letter the respondent enquired with the appellant no.2 office and found that he still had to pay Rs.14,760/- towards 3 monthly instalments and the same was paid by the respondent by way of cheque. The appellants have not given the original receipt for the payment made though the entry has been made in the passbook. The appellants without verifying the records sent a letter dated 7.2.2009 demanding the respondent to pay Rs.5,047/- towards instalment due for the month of December 2008. Hence the respondent got issued a legal notice dated 3.3.2009 and reminder notice dated 20.3.2009 to which they replied and the appellants also issued a legal notice to the sureties on 4.5.2009 and the respondent replied on 23.5.2009. Therefore the respondent filed the complaint before the District forum seeking directions t the appellants to withdraw the notice dated 17.2.2009 and to pay compensation and costs.

(3.) Appellants resisted the case contending that it was not the respondent but his wife who contacted Smt Dhana Lakshmi, an employee of opposite parties over phone and it was informed that the respondent had to pay four installments from September to December 2008. The appellants also sent a registered letter dated 28.11.2008 to the respondent asking him to pay Rs.21,545.50/- towards four installments but the respondent had sent cheque for Rs.14,760/- for which a receipt dated 26.12.2008 was issued. The respondent did not produce any receipt for the payment of Rs.4500/- on 5.11.2007 which was erroneously entered in the passbook by an employee. In spite of repeated requests the respondent could not produce the receipt.