Meetings of general body of subscribers
Section 38 of the Chit Funds Act, 1982 deals with meetings of general body of subscribers. The foreman may, on his own motion, convene a special meeting of the general body of subscribers for considering any proposal to pass a special resolution. The Act came into force on 02 Apr 1984.
(1) The foreman may, on his own motion, convene a special meeting of the general body of subscribers for considering any proposal to pass a special resolution.
(2) The foreman shall convene such a meeting on the requisition in writing of not less than twenty-five per cent. of the number of non-prized and unpaid prized subscribers, and the meeting so convened shall be held within thirty days of the date of receipt of the requisition and if the foreman refused or fails to call such a meeting within fourteen days of the date of receipt of such requisition, not less than twenty-five per cent. of the number of non-prized and unpaid prized subscribers may give notice of the fact to the Registrar.
(3) The Registrar shall, within twenty-one days of the receipt of the notice under sub-section (2), convene or direct the convening of a special meeting of the general body of the subscribers and on receipt of such a direction, it shall be the duty of the foreman to comply with such direction.
(4) Notice of not less than fourteen days shall be given to all the subscribers of a meeting under this section specifying the object, date, hour and place of meeting and a copy of the special resolution shall also be sent along with the notice of the meeting.
Explanation.-- For the purposes of this section and section 39, "special resolution" means a resolution which is passed at a meeting of the general body of the subscribers specially convened for the purpose, by a majority of not less than two-thirds of the subscribers to the chit present at the meeting in person or by proxy and representing not less than three-fourths of the amount or, as the case may be, the value of the grain, subscribed by all the non-prized and unpaid prized subscribers, if any.
Section 38, The Chit Funds Act, 1982 (Act 40 of 1982).
Cross-references
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Questions about Section 38
What does Section 38 of the Chit Funds Act deal with?
Section 38 of the Chit Funds Act is headed "Meetings of general body of subscribers". The foreman may, on his own motion, convene a special meeting of the general body of subscribers for considering any proposal to pass a special resolution.
How do I find court cases under Section 38 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 38, section 38 Chit Funds Act 1982, section 38 of the Chit Funds Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
What should I read with Section 38 of the Chit Funds Act, and has it changed?
Its own text turns on section 39 (Provision for continuation of chits in certain cases), so none of them can safely be read on its own. 1 other provision in this corpus refers back to it.
When did Section 38 of the Chit Funds Act come into force?
Section 38 of the Chit Funds Act, cited as Chit Funds Act 1982 38, 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 17 Oct 2026. This page is not a substitute for legal advice.