Section 32 in The Maharashtra Chit Funds Act, 1974
32. Provisions for continuation of chits in certain cases.
(1)Where a Foreman who is an individual dies or becomes of unsound mind, or is otherwise incapacitated, the chit may be continued in accordance with the provisions of the chit agreement.(2)Where a Foreman is adjudicated an insolvent under the Insolvency Act, 1955, or withdraws from the chit under section 19 or fails to conduct the chit at any instalment or at any other date, before the next succeeding instalment as may have been agreed upon by a special resolution passed at a meeting of non-prized and unpaid prized subscribers held in that behalf in accordance with section 31, any one or more of the non-prized or unpaid prized subscribers authorised by such resolution may, in the absence of any provision in the chit agreement for the future conduct of the chit, take the place of the Foreman and have the right to continue the chit or to make other arrangements for the further conduct of the chit.
