Hi,
My father retired as a Government Employee in 2009.. During his service, In 2005, he participated and drawn a chit from a recognized chit fund company. He paid the EMIs till 2008 August and did not pay the last 4 EMIs of worth value 24000 and we left the place and went to a different town.
In Febraury, 2012, we came to know that Chit fund company is approaching the surity members(Govt Employees) with legal notice of stating 55000 to be paid, so my father approached the Chit fund company Recovery cell lawyer and paid 10000 Rupees and got the receipt. Later, we thought that 55000 rupees is an exaggerated amount and posted a letter for an Account statement with the latest address(of us) details. Chit fund company did not respond to our query and they filed a case in Civil court in Octover 2012. We were unaware of this as we have not received the notices as they were sending the notices to our old address.
Finally now, they approached the surity members saying that a decree is issued by court of worth 62000. Again, we got in touch with the chit fund company manager and asked about the account statement and mentioned about the post that we sent long back, He said he is the recent manager and he is unware of the letter and he can not give account statement now as the case is filed in court and the accounts will be locked in their systems and they can not give to anybody except court. Also, he mentioned that nobody was there to receive the notices and finally decree has come.
We want to settle the amount and asked him to reduce the amount as it is an exaggerated amount. Manager said decree amount is the final amount and he is adding another 10000 rupees as court expenses and asking us to pay around 70000.
My questions here are:
1. Can we challenge the decree now, I mean can we appeal now ? Also, how to know whether decree is really issued, we have not received it, they are saying it is issued by court and they will file E.P very soon.
2. Does the decree amount is inclusive of court expenses?
3. Does the Court really verified the account statement or did it proceed with the amount that Chit fund company filed in suit ?
4. Account statement is not given to us, we really not sure whether the 10000 rupees that we paid last year was recorded into their calculations.
5. Definitely, very higher rate of interest must have been used to arrive to the suit amount that they filed. How to challenge this ? (24000 became 70000 in 5 years even though we paid 10000 last year)
Please guide me how can we approach on this. I know the amount is not huge but it is considerable amount for a retired employee.
Thanks,
Satya
