Chit fund-Guarantee

I have signed as a guarantor for my friends chit.He has given his property which has been mortgaged by chit co. Now my friend isn't paying.Chit finance is now behind me and threatening me that my salary will attached.. My question is why they are behind me, before trying the property attached? The Chit co. is saying that they can release the property if my friend pays a part amount and that only i will liable for the renaining!!!!! Is this possible?? When property of good sale value is attached, whether the chit co. can come to me for recovery?? Please guide in this issue. Thanks in advance.