SHAIK FASIUDDIN Vs. KAPIL CHITS KAKATIYA PVT. LTD.

JUDGEMENT

(1.) Heard Sri V. Yadu Krishna Sainath, learned counsel for the petitioner and Sri K.P.Vijay Kumar, learned counsel appearing for 1st respondent. Perused the record.

(2.) Respondent No.2 is subscriber of the chit maintained by respondent No.1 Company. The petitioner herein and respondent Nos.3 to 6 are sureties. Respondent No.2 failed in repaying the said chit amount. Therefore, 1st respondent has filed an application under Sec. 64 of Chit Fund Act, 1982 before the Chit Arbitrator/Deputy Registrar of Chits vide AR.B.No.371 of 2021 for recovery of an amount of Rs.6,05,462.00 along with interest @ 18% per annum on the principle amount of Rs.5,03,422.00 till the date of realization of the said amount and cost of the litigation from the petitioner and respondent Nos.2 to 6. Learned Chit Arbitrator has passed an award dtd. 20/6/2023 holding that both the petitioner and respondent Nos.2 to 6 are jointly and severally liable to pay the said amount. Since they failed to pay the said amount, 1st respondent has filed an Execution Petition vide E.P.No.4 of 2024 for execution of the said award and realization of the said amount against judgment debtor Nos.3,4, 5 and 6 including the petitioner herein.

(3.) Petitioner herein is J.Dr.No.5. Learned Executing Court has passed salary attachment Order dtd. 8/1/2024 directing the Disbursing Officer of the petitioner herein to withhold an amount of Rs.8,57,310.00. The learned Executing Court has also passed similar orders to withhold the aforesaid amount from J.Dr.Nos.3,