Who Conducts a Chitty?
A Chitty is conducted by a person or an institution and this entity
is called the foreman.
In the case of KSFE Chitties, KSFE is the foreman.
What is a Chitty?
A chitty is basically a contract between the foreman and the
As per the contract, each subscriber agrees to remit a fixed amount
of money every month for a number of months.
How many tickets can be enrolled in each
number of tickets enrolling in a chitty will be equal to the number
of months for which the remittance
have to be made or the duration of chitty in months.
What is Chitty “Prize Money”?
The total of the periodic subscription, called the chitty amount,
will be given out as “prize money” to the person who bids by allowing
for the maximum reduction in the prize money.
The maximum reduction possible is 25% as per the prevailing Chitty
Act and if there are more than one subscriber interested in bidding
at 25% reduction, the numbers of the such bidders will be put
to a draw.
Thus each subscriber gets an opportunity to receive the prize
money once during the tenure of the chitty.
All the promoters have to contribute the periodic subscription
till the end of the chitty.
The foreman is entitled to a certain percentage of the chitty
amount (not more than 5% of the chitty amount) as his commission
from each member
How many tickets can one subscribe in a single chitty?
Maximum number of tickets one can subscribe is limited to 10%
of the total number of tickets of that chitty, subject to approval
Company has appointed daily door collection agent who will come
and collect the amount towards monthly instalment daily from a
subscriber’s office/ residence. Customer can remit the chitty
instalment in any of the Branches of KSFE.
can one enroll in a chitty?
A person can enroll in a chitty either by visiting the Branch
or through the agents of KSFE. You may either click the feed-back
or directly ring to any one of the Branches which is nearer to
your location. For finding the list of Branches you may go to
the menu (BRANCHES)
in the auction
A subscriber can participate in the auction, which will be conducted
in the Branch where the chitty pertains to, either in person or
subscriber can authorize the concerned branch manager to be a
proxy to his ticket by signing on a proxy form specifying the
amount up to which the ticket has to be bid. This proxy will be
valid for a maximum of 12 months. Alternatively subscriber can
authorize any person, above 18 years of age, to participate in
any of the auctions by forwarding a proxy form duly signed and
stamped in the format prescribed at the last page of passbook.
are the Securities Acceptable for Payment of Prize Money?
types of security acceptable for chitty prize money payment, belong
to various categories like personal sureties (of employees of
Government, aided schools, public undertakings, banks etc.), financial
documents (like fixed deposits with banks and reputed organizations,
Deposit-in-Trust, LIC policies, bank guarantees, National Savings
Certificates etc.), Sugama Security, landed property or Gold ornaments.
The Liability waiver scheme is limited to special campaign chitty.
Both prized and non-prized can avail this benefit subject to conditions.