Tuesday, 12, May, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

K Valisab S/O. Mahboobsab vs M/S Margadarsi Chits (Kar) Pvt. Ltd
2024 Latest Caselaw 22488 Kant

Citation : 2024 Latest Caselaw 22488 Kant
Judgement Date : 4 September, 2024

Karnataka High Court

K Valisab S/O. Mahboobsab vs M/S Margadarsi Chits (Kar) Pvt. Ltd on 4 September, 2024

Author: H.P.Sandesh

Bench: H.P.Sandesh

                                              -1-
                                                         NC: 2024:KHC-D:12742
                                                       WP No. 105257 of 2024




                      IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH
                         DATED THIS THE 4TH DAY OF SEPTEMBER, 2024
                                            BEFORE
                            THE HON'BLE MR. JUSTICE H.P.SANDESH
                         WRIT PETITION NO. 105257 OF 2024 (GM-CFA)
                 BETWEEN:
                 1.   K. VALISAB S/O. MAHBOOBSAB,
                      AGE: 58 YEARS, OCC: BUSINESS,
                      R/O. JB NAGAR, MUNIRABAD,
                      KOPPAL-583231.

                 2.   GOUSIYA W/O. K. VALISAB,
                      AGE: 48 YEARS, OCC: HOUSEHOLD,
                      R/O. JB NAGAR, MUNIRABAD,
                      KOPPAL-583231.
                                                                ...PETITIONERS
                 (BY SRI. SANTOSH B. MALLIGAWAD, ADVOCATE)
                 AND:
                 1.   M/S. MARGADARSI CHITS (KAR) PVT. LTD.,
                      2ND FLOOR, PARWAZ PLAZ, COLLEGE ROAD,
                      HOSAPETE,
                      REPRESENTED BY ITS AUTHORISED
                      REPRESENTATIVE FOREMAN,
                      PIN CODE-583201.
GIRIJA A
BYAHATTI         2.   THE DEPUTY REGISTRAR OF CHITS
                      REPRESENTED BY NOMINEE, K. SADANAND,
Location: HIGH
COURT OF              ADVOCATE/NOMINEE, HOSPETE, PIN-583201.
KARANTAKA
DHARWAD                                                        ...RESPONDENTS
BENCH

                      THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227
                 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE IN THE
                 NATURE OF CERTIORARI QUASHING THE ORDER DATED 28/05/2022
                 PASSED BY RESPONDENT NO.2 BEARING DISPUTE NO.83/2021-22
                 VIDE ANNEXURE-C; ISSUE IN THE NATURE OF CERTIORARI
                 QUASHING THE ORDER DATED 16/12/2023 PASSED BY LEARNED
                 SENIOR CIVIL JUDGE AND CJM KOPPAL IN EX.NO.15/2023 VIDE
                 ANNEXURE-E.

                      THIS PETITION COMING ON FOR ORDERS, THIS DAY, ORDER
                 WAS MADE THEREIN AS UNDER:
                             -2-
                                         NC: 2024:KHC-D:12742
                                       WP No. 105257 of 2024




                       ORAL ORDER

(PER: THE HON'BLE MR. JUSTICE H.P.SANDESH)

1. Heard the petitioners' counsel.

2. In this writ petition, a prayer is sought to issue writ

in the nature of certiorari quashing the order dated

28.05.2022 passed by respondent No.2 bearing

Dispute No.83/2021-2022 vide Annexure-C and also

to quash the order dated 06.12.2023 passed by the

learned Senior Civil Judge and CJM, Koppal in

Ex.No.15/2023 vide Annexure-E and grant any other

relief.

3. The factual matrix of the case of the petitioner is

that, petitioners No.1 and 2 are the subscribers of

the chit and they have received the price amount of

Rs.16,25,000/- and defaulted in repayment of due

installments and the cheque issued by the petitioner

has also been dishonoured. A private complaint is

filed by the respondent in PCR No.289/2021 invoking

Section 138 of the Negotiable Instruments Act. A

NC: 2024:KHC-D:12742

legal notice is also issued to the petitioner, but he did

not repay the amount. Hence cognizance is also

taken and the matter is pending.

4. The counsel for the petitioner would submit that,

during the pendency of the said proceedings,

respondent had instituted the proceedings under the

Chit Funds Act before the Deputy Registrar of Chits

bearing dispute No.83/2021-2022 and notice has

been served and decision was taken. The impugned

order is also passed as per Annexure-C and it was

directed to the petitioner to pay Rs.11,90,496/- with

interest at 24% p.a. The Execution Petition is also

filed to enforce the said order and issued attachment

of movables of Judgment Debtors No.1 to 3.

5. Having considered the factual aspects of the case

and petitioners not dispute the fact that they are

subscribers of the chit and also not in dispute that

they committed default in repayment of the same.

Hence the proceedings also initiated before the

NC: 2024:KHC-D:12742

concerned authority in terms of Annexure-C and

order was also passed on 28.05.2022 and no appeal

is filed against the said order and the same has

attained finality. Now the petitioners cannot invoke

the writ jurisdiction before this Court when they have

got an alternative remedy. Apart from that,

Execution Petition is filed consequent upon

Annexure-C which attained its finality and court

notice has been served. When the award amount

has not been paid, attachment of movables warrant

is issued.

6. When such being the case, the petitioners cannot

seek the relief by exercising the writ jurisdiction

without exhausting the efficacious alternative

remedy. Hence the very contention of the

petitioners that already N.I. Act proceedings has

been initiated and hence the respondent No.2 cannot

pass such an award cannot be accepted. If there is

any grievances against the order at Annexure-C, the

NC: 2024:KHC-D:12742

petitioners ought to have challenged the same before

the appropriate forum and instead of challenging the

same writ jurisdiction is invoked.

7. Hence I do not find any ground in the writ petition to

entertain the same when the efficacious alternative

remedy is available and also the order at Annexure-C

has attained its finality. Under the circumstances, no

ground is made out to grant the relief as sought.

8. In view of the discussions made above, I pass the

following:

ORDER

Writ Petition is dismissed.

Sd/-

(H.P.SANDESH) JUDGE

gab ct-mck

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : IJJ

 

LatestLaws Partner Event : Smt. Nirmala Devi Bam Memorial International Moot Court Competition

 
 
Latestlaws Newsletter