Foreman to demand future subscriptions by written notice
Section 33 of the Chit Funds Act, 1982 deals with foreman to demand future subscriptions by written notice. A foreman shall not be entitled to claim a consolidated payment from a defaulting prized subscriber under section 32 unless he makes a demand to that effect in writing. The Act came into force on 02 Apr 1984.
A foreman shall not be entitled to claim a consolidated payment from a defaulting prized subscriber under section 32 unless he makes a demand to that effect in writing.
(2) Where a dispute is raised under this Act by a foreman for a consolidated payment of future subscriptions from a defaulting prized subscriber and if the subscriber pays to the foreman on or before the date to which the dispute is posted for hearing the arrears of subscriptions till that date together with the interest thereon at the rate provided for in the chit agreement and the cost of adjudication of the dispute, the Registrar or his nominee hearing the dispute shall, notwithstanding any contract to the contrary, make an order directing the subscriber to pay to the foreman the future subscriptions on or before the dates on which they fall due, and that, in case of any default of such payments by the subscriber, the foreman shall be at liberty to realise, in execution of that order, all future subscriptions and interest together with the costs, if any, less the amount, if any, already paid by the subscriber in respect thereof:
Provided that if any such dispute is on a promissory note, no order shall be passed under this sub-section unless such promissory note expressly states that the amount due under the promissory note is towards the payment of subscriptions to the chit.
(3) Any person who holds any interest in the property furnished as security or part thereof, shall be entitled to make the payment under sub-section (2).
(4) All consolidated payments of future subscriptions realised by a foreman shall be deposited by him in an approved bank mentioned in the chit agreement before the date of the succeeding instalment and the amount so deposited shall not be withdrawn except for payment of future subscriptions.
(5) Where any property is obtained as security in lieu of the consolidated payment of future subscriptions, it shall remain as security for the due payment of future subscriptions.
Section 33, The Chit Funds Act, 1982 (Act 40 of 1982).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
This section refers to
Referred to by 1
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Oriental Kuries Ltd. v. Lissa
Court's Decision & Legal Precedent
Judgment order-14.pdf 2019-11-06 DATE VERIFIED (get_order_ai_analysis). Reportable SC (Indu Malhotra, Sanjiv Khanna JJ.): chit subscriber incurs a debt on the day of subscription; on default the foreman may recover consolidated future subscriptions in a lump sum under Chit Funds Act s.32 — not a penalty; Kerala DB reversed. Prefer order-14.pdf (merits Judgment) over order-13.pdf (ROP placing reportable on file). Map Chit Funds 32, 33.
On this section: Chit Funds Act s.33 foreman to demand future subscriptions by written notice: companion map — lump-sum recovery of future subscriptions on default is a valid contractual/statutory mechanism (Oriental Kuries).
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Made under this section, and citing it
1 instrument names this provision in its title or its text without being made under it.
Questions about Section 33
What have the courts held on Section 33 of the Chit Funds Act?
Oriental Kuries Ltd. v. Lissa (06 Nov 2019) is the leading judgment on this section among those set out below: Chit Funds Act s.33 foreman to demand future subscriptions by written notice: companion map — lump-sum recovery of future subscriptions on default is a valid contractual/statutory mechanism (Oriental Kuries).
How do I find court cases under Section 33 of the Chit Funds Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Chit Funds Act 1982 33, section 33 Chit Funds Act 1982, section 33 of the Chit Funds Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Oriental Kuries Ltd. v. Lissa (06 Nov 2019).
What should I read with Section 33 of the Chit Funds Act, and has it changed?
Its own text turns on section 32 (Prized subscriber to pay subscriptions regularly), so none of them can safely be read on its own. 1 other provision in this corpus refers back to it. One instrument names it without being made under it, most recently The Tamil Nadu Chit Funds Rules, 1984 (1984).
When did Section 33 of the Chit Funds Act come into force?
Section 33 of the Chit Funds Act, cited as Chit Funds Act 1982 33, came into force on 02 Apr 1984, having been enacted on 19 Aug 1982. It is in force as at the date shown on this page.
Other sections of this Act
- 2. Definitions795 words
- 6. Form of chit agreement577 words
- 22. Duties of foreman483 words
- 89. Power to make rules471 words
- 20. Security to be given by foreman428 words
- 67. Procedure for settlement of disputes and powers of Registrar or nominee419 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 14 Oct 2026. This page is not a substitute for legal advice.