HC ordered to start the process of selling property of chit fund companies and return the money to depositors

In a landmark judgement, the Chief Justice (acting) T Amarnath Gaur and Justice Arindam Lodh ordered the central and state governments to sell all the assets of the chit fund companies in Tripura and return them to the aggrieved depositors.

In a public litigation, the division bench of the High Court of Tripura comprising  Chief Justice (acting) T Amarnath Gour and Justice Arindom Lodh  issued a set of directions to the state and union government of India on January 10, 2023, when Senior Advocate Purusuttam Roy Barman and his associate advocate Samarjit Bhatacherjjee who were working  as amicus curiae in the case  drew the attention of the court on its updated progress and stalemate which had come on its way to decline the interest of depositors  and pleaded for a number of points to be considered including  quick attachment and disposal of assets, properties of chit funds operators  to be confiscated  to safeguard the interest of the depositors. It was alleged that the chit fund operators were moving scot-free while police have submitted the charge sheet indicating those accused as absconders and after drawing the court's attention to the fact that no process has been initiated to return the money to the depositors, the division bench of the court passed a host of important directives with a directive to implement orders by April 30, 2023.

Not only this, the impounded properties, assets should be auctioned by floating tenders and shall have to formulate a scheme before distributing the said money to be collected from the auction among the depositors. The High Court also asked the government to seize the passports, PAN cards, Aadhaar cards, and credit and debit cards of the directors and shareholders of chit funds and they should be handed over to the respective court after arresting them as per laws. The next hearing of the chit fund case is scheduled to be held on 30, April 2023 said Senior Advocate Purusuttam Roy Barman and Advocate Samarjit Bhattachejee who are pursuing and pleading the case as  amicus curiae.