9911796707
TMI Blog2001 (5) TMI 902X X X X Extracts X X X X X X X X Extracts X X X X ..... lost before the District Forum but succeeded before the State Commission. There are three petitioners. First two petitioners are partners of third petitioner Surya Financiers which was running the chit fund. As per scheme of the chit fund every month members were to contribute Rs. 5,000 and the amount of contribution was Rs. 1,25,000. Members used to bid and the persons offering to take the lesser amount used to get the same and the remaining amount was distributed among the members after deduction of the Commission of the petitioners. Commission was stated to be 5 per cent complainant paid all 25 instalments and became entitled to the amount of Rs.1,25,000 on maturity. Since he was not paid this amount he filed complaint before the Distric ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... disputes between the members of the chit fund or the members and the management of chit fund and that District Forum rightly held that it has no jurisdiction in the matter. Reference was made to section 64 of Chit Fund Act which reads as under : "64. Disputes relating to chit business (1) Notwithstanding anything contained in any other law for the time being in force, any dispute touching the management of a chit business shall be referred by any of the parties to the dispute, to the Registrar for arbitration if each party thereto is one or the other of the following, namely : ( a )a foreman, a prized subscriber or a non-prized subscriber, including a defaulting subscriber, past subscriber or a person claiming through a subscriber, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... b ) of sub-section (1) of section 64 of the Chit Fund Act and the present case could be said to be covered under those provisions. Under section 3 of the Consumer Protection Act, provisions of the Act are in addition to and not in derogation of the provisions of any other law for the time being in force. There is nothing in section 64 of the Chit Fund Act which bars the jurisdiction of District Forum, State Commission or National Commission under the Consumer Protection Act. The bar is on the Civil Court. The concept of Civil Court is well understood. The Forum under the Consumer Protection Act is not a Civil Court though it has trappings of Civil Court. It is a quasi-judicial body. The Act is benevolent legislation and its provisions are t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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