Aevum Digital
Chit Fund Statutory Compliance

ChitComply Statutory Compliance Software for Chit Fund Companies

A compliance platform for chit companies registered under the Chit Funds Act 1982 and state Acts, which generates each group's filing schedule, produces and signs the required documents, and keeps tamper-evident records for Registrar inspection.

Request a DemonstrationHow ChitComply Works
123456789101112 Minutes Obligations across the full group tenure
46Dated obligations for a 12-month Tamil Nadu group, in product testing
7, 3, 1Days before each deadline that alerts are sent
8 yearsDocument retention in the encrypted vault
6Interface languages

Solution Overview

ChitComply is a cloud application for chit fund companies registered under the Chit Funds Act 1982 and state chit Acts. When a company sets up a chit group, the platform generates the group's statutory obligations for its whole tenure, from the commencement certificate through monthly minutes of proceedings to annual returns and termination, and computes each deadline from the rules of the governing state.

The platform produces the required documents as PDFs, including minutes in Tamil, routes them for signing, records the Registrar's acknowledgement and keeps every document in an encrypted vault with a tamper-evident audit log. It complements the operations software that chit companies use for auctions, collections and accounting.

Compliance CalendarIllustrative, sample data
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GroupObligationStatus
TN-204Minutes, draw 7Due in 3 days
TN-187Minutes, draw 11Filed
KL-052Minutes, draw 3Signing
TN-211CommencementOverdue
86Health score of 100
48Running groups
31Due this month
1Overdue
Figure 1. Compliance Calendar. Illustrative screen showing deadlines by day, obligations by group and a health score. All group identifiers and values are sample data.

Compliance Challenges Addressed

Tamil Nadu alone reported 2,712 registered chit companies in March 20251, and Telangana's state chit platform recorded 24,327 groups across more than 1,500 offices2. In product testing, a single 12-month Tamil Nadu group generates 46 dated obligations, so a company with 200 groups manages thousands of filings a year.

Monthly Document Volume

Minutes of proceedings must be prepared for every group after every draw. Clerks typically type them by hand in the state's format and language, and volume grows with the number of running groups.

Paper-Based Signing and Filing

Staff print documents, collect physical signatures from the foreman, witnesses and prized subscriber, and carry papers to the Registrar's office. Acknowledgements kept in physical files are slow to retrieve.

Rules That Differ by State

Deadlines, formats and holiday calendars vary between the central Act and each state's rules. Tamil Nadu sets a fixed date in the following month, and Kerala uses its own filing window.

How ChitComply Works

The sequence below follows a chit group from company setup through the monthly draw cycle. Filing rules are deterministic, so each deadline and document can be traced to the provision that produced it. Under the Chit Funds (Amendment) Act 2019, the two required subscribers may attend a draw by recorded video conference and sign the minutes within two days3.

  1. Set Up Company

    Branches, roles and two-factor login

  2. Create Chit Group

    Statutory limits checked

  3. Enrol Subscribers

    Kerala 20% rule checked

  4. Generate Obligations

    Full tenure, state rules

  5. Commencement Gate

    Draws held until certified

  6. Draw Held

    In person or by video

  7. Generate Minutes

    State format, including Tamil

  8. Sign Documents

    Multi-party signing

  9. File with Registrar

    Submitted by the company

  10. Record Receipt

    OCR reads number and date

  11. Close and Archive

    Locked and stored in the vault

Step in the platformDistinctive stepHuman decisionPerformed outside the platform
Figure 2. Chit Group Compliance Workflow. The eleven-step group path. Steps 6 to 11 repeat for every draw. The draw and the submission to the Registrar take place outside the platform. Every write is appended to the hash-chained audit log.

Group Tenure, 12-Month Example

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Before the First DrawCommencement certificate. The platform holds draws until the group is certified.
After Each DrawMinutes of proceedings, notices and subscriber certificates, signed and filed.
Annual and ClosingAnnual returns and financial statements, then termination records.
Figure 3. Obligations Across a Group's Tenure. Schematic of obligations generated for a 12-month group. The dates are computed from state rules, including holiday and Sunday shifts.

Document Signing and Filing

Document Prepared

  • Minutes in the state format
  • English or Tamil for Tamil Nadu
  • Batch generation for all groups

Signing Parties

  • Foreman
  • Witnesses
  • Prized subscriber
  • 48-hour window for video-attended draws

Filed and Archived

  • Submitted to the Registrar by the company
  • Acknowledgement read by local OCR
  • Document locked once filed
  • Stored in the encrypted vault
Figure 4. Signing and Filing Sequence. How a document moves from generation to the vault. A draw attended by video conference opens a 48-hour signing window.

State Rule Coverage

JurisdictionCurrent CoverageNotes
Tamil NaduRules fully researched; form templates; minutes in English and TamilFixed monthly filing date
KeralaRules fully researched; form templatesOwn filing window; groups with 20% or more Kerala subscribers trigger Kerala obligations
Andhra PradeshGeneric central-Act template; minutes and form templatesVerified state rule set planned
Central ActForm templates and minutesApplied where no state rule set is verified
Telangana, Karnataka, Maharashtra, DelhiGeneric central-Act templateVerified state rule sets and legal review planned

Weekly change detection runs on eight official sources, with rule-based impact analysis. The platform also holds holiday calendars for seven states, penalty reference data and a directory of 19 Registrar offices.

Platform Modules

Group Setup and Obligation Engine

  • Group wizard
  • Statutory checks
  • Subscriber register
  • Obligation generation
  • Deadline calculator
  • Commencement gate
  • Kerala 20% rule
  • Multi-branch
  • Compliance calendar
  • Deadline alerts

Documents, Signing and Filing

  • Minutes including Tamil
  • Chit agreements
  • Notices and certificates
  • Balance sheet template
  • Batch generation
  • Version control
  • DSC signing
  • 48-hour signing
  • Mobile signing page
  • Filing tracker
  • Receipt OCR

Regulatory Rules

  • State rule data
  • State form library
  • Holiday and penalty data
  • Registrar office directory
  • Amendment monitor
  • Impact analysis
  • Regulatory Q&A search

Evidence and Analytics

  • Encrypted vault
  • Audit log
  • 8-year retention
  • Inspection bundle
  • Lender report
  • Health score
  • Risk analytics
  • Custom reports
  • Six interface languages
Figure 5. Platform Module Map. Current modules of ChitComply grouped by layer.

Key Capabilities

Group Setup

  • Multi-step group wizard with draft save
  • Foreman commission and draw day limits enforced in the database
  • Encrypted PAN; only the last four Aadhaar digits stored
  • Multi-branch and multi-state companies

Obligations and Alerts

  • Full-tenure schedule for each group
  • State-aware deadlines with holiday and Sunday shifts
  • Commencement-certificate gate that blocks draws
  • Alerts 7, 3 and 1 days before each deadline

Document Generation

  • Minutes for Tamil Nadu, Kerala, Andhra Pradesh and the central Act
  • Agreements, commencement application and pre-notice
  • Batch generation and version control
  • Documents locked once filed

Signing

  • Multi-party signing for foreman, witnesses and prized subscriber
  • DSC verification against Indian certifying authorities
  • Mobile signing page
  • 48-hour window for video-attended draws

Vault and Inspection

  • Encrypted document vault and per-group timeline
  • Hash-chained audit log and 8-year retention
  • Registrar inspection bundle
  • Read-only inspector access that expires automatically

Analytics and Reports

  • 0–100 health score and branch benchmarking
  • Penalty exposure and 90-day forecast
  • Security deposit and reserve fund trackers
  • Executive and lender reports

Comparison with Typical Approaches

CapabilityTypical ApproachChitComply
Compliance scheduleDeadlines tracked in spreadsheets and messaging groupsFull-tenure schedule generated when a group is created
State rulesHeld in the knowledge of individual staffRule-based engine for state dates, windows and holiday calendars
Minutes and certificatesTyped by clerks for each group every monthGenerated in state formats, including Tamil, in one batch
Filing evidencePaper acknowledgements in filesAcknowledgement captured by OCR; document locked once filed
Inspection readinessDocuments retrieved by handInspection bundle, time-limited auditor access and a hash-chained log
Fit with existing softwareOperations software covers auctions, collections and accountingRuns alongside operations software

Intended Users

Owner-Foreman or Managing Director

Reviews penalty exposure, clerical workload and the health score.

Compliance Manager or Company Secretary

Administers the calendar, documents and filings daily.

Branch Manager

Prepares and files minutes for the branch's groups.

Chit Auditor or CA Firm

Reviews records through time-limited, read-only access.

Lender or Investor

Reviews the lender compliance report.

Foreman, Witnesses and Subscribers

Sign documents through the mobile signing page.

Security and Record Integrity

ControlImplementation
Company data isolationDatabase row-level security on tenant tables; branch managers restricted to their branch
Access controlFive roles and 18 permissions checked in every route; two-factor authentication for owners and compliance managers
Audit trailSHA-256 hash-chained log, with a database trigger that blocks updates and deletions and scheduled chain verification
Document protectionAES-256-GCM encryption per company, 60-second download links, documents immutable once filed
Personal data minimisationFull Aadhaar numbers never stored, PAN encrypted, OCR run locally

Scope and Current Coverage

Production Aadhaar eSign through a licensed provider is planned, and the client is built to send only the document hash. WhatsApp alerts depend on approved message templates. Existing groups can be imported from CSV through the API, and an import screen is planned. Verified rule sets for further states, Kerala documents in Malayalam, connectors to operations software and integration with state online filing services are also planned. The platform does not run auctions, collections or accounting.

Frequently Asked Questions

Does ChitComply replace chit operations and accounting software?

No. ChitComply manages statutory compliance and runs alongside the software used for auctions, collections and accounting.

Which states are covered?

Rules are fully researched for Tamil Nadu and Kerala. Five further states use a generic central-Act template, with verified rule sets planned.

Does the platform file documents with the Registrar?

No. The company submits documents to the Registrar. The platform prepares and tracks the documents and records the acknowledgement.

Are minutes available in Tamil?

Yes. Minutes of proceedings for Tamil Nadu are available in English and Tamil. Kerala documents in Malayalam are planned.

Is Aadhaar eSign available?

Digital Signature Certificate signing is available. Production Aadhaar eSign through a licensed provider is planned, and only the document hash would be sent to the provider.

Can an inspector or auditor be given access?

Yes. Inspectors and auditors receive a read-only role that expires automatically, and their access is recorded in the document access log.

Request a ChitComply Demonstration

Aevum Digital can demonstrate group setup, the generated compliance calendar and Tamil minutes of proceedings using sample data.

Contact Aevum Digital

References

  1. Government of Tamil Nadu, Commercial Taxes and Registration Department, Policy Note 2025-26. Source.
  2. Government of Telangana, T-Chits presentation at the National Conference on e-Governance. Source.
  3. StudyCafe, The Chit Funds (Amendment) Act 2019, gazette text. Source.

ChitComply supports statutory compliance management and does not replace legal advice. Requirements should be confirmed against the Act and the rules of the relevant state. Regulatory information on this page was last reviewed on 1 November 2026 and is provided for general information.