Calcutta High Court Questions Progress of Justice SP Talukdar Committee in Chit Fund Cases

The Calcutta High Court has expressed strong dissatisfaction with the functioning of the committee led by Justice SP Talukdar, which is responsible for overseeing claims and refunds to depositors affected by chit fund companies.

A division bench comprising Justice Rajarshi Bharadwaj and Justice Sudip Deb questioned the committee's progress over the past 12 years, particularly the amount refunded to depositors and the status of assets under its supervision.

According to media reports, the court observed that, based on an estimated annual expenditure of ₹10 crore, more than ₹120 crore may have been spent on the committee's functioning over 12 years. In comparison, approximately ₹96 crore has reportedly been refunded to depositors. The bench also questioned the pace of work despite the committee having 24 staff members and 13 data entry operators.

The court sought a detailed account of the 103 identified chit fund entities, including the total number of companies involved, the value of their assets and the number of depositors who have applied for refunds.

The bench also expressed concern over delays in identifying and securing assets, noting that such delays could create difficulties in recovering funds for depositors if properties were sold or transferred.

Questions Over Vibgyor Assets

The court's concerns reportedly included assets belonging to the Vibgyor group in the Dooars region, valued at approximately ₹54 crore. Media reports stated that questions were raised about the reported transfer of these assets despite their being under the committee's purview. The circumstances surrounding the assets and their status remain matters requiring examination in light of the relevant records and court proceedings.

Priority to Small Depositors

The bench emphasised the importance of prioritising ordinary depositors, particularly those from low- and middle-income groups who had invested relatively small amounts, such as ₹5,000 or ₹10,000. It also questioned whether public expenditure was producing adequate results in the refund process.

The committee has been directed to exercise its available powers to expedite the identification of assets and the refund process. It is expected to submit a detailed report outlining its proposed steps at the next hearing scheduled for November 19, 2026.