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Chapter II
Registration
3. Application for obtaining prior sanction for commencement or
conduct of chit - Every application for obtaining prior sanction of the State
Government or the officer empowered by it in this behalf, for
commencement of conduct of a chit shall be made by the foreman in Form I.
4.Refusal to sanction commencement or conduct of a chit— (1)
where sanction for the commencement or conduct of a chit is refused, the
reasons for such refusal shall be recorded in writing and a copy thereof shall
be communicated to the applicants.
(2) Before refusing such sanction, the State Government or the
Officer empowered by them in this behalf shall issue a notice to the foreman
calling upon him to show cause within a reasonable period to be specified in
such notice as to why sanction be not refused.
4A.Condonation of delay in payment of fees for filing of records
for sanction for commencement or conduct of Chit.—Where it is
proposed to refuse sanction for the commencement or conduct of chit for
delay in payment of fees or filing of any statement or record required to be
paid or filed under the Act or the rules made thereunder, the State
Government or the Officer empowered by them in this behalf shall condone
the delay, if they or the officer so empowered, as the case may be, is
satisfied hearing the foreman or due to other bonafide, provided the
foreman has paid the fees or filed necessary documents on or before the
date of such hearing.
5.Application for registration of a chit.—Every application for the
registration of a chit to be made by the foreman to the Registrar shall be in
Form II.