The Tamil Nadu Chit Funds Rules, 1984State Rules of Tamil Nadu · 1982
(1) If the Registrar refused to register a chit, he shall record the reasons for such refusal in writing and communicate a copy of the order made in this regard to the applicant.
(2) Before refusing such registration, the Registrar 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 the registration be not refused.