Some very relevant points have been made, the prime one is that the participants themselves fail to read the rules, thereby making their chapters invalid for the prizes. Secondly, it is imperative that authors don't just focus on the chapter before theirs, but read the story development right from Chapter 1. Thirdly, yes, in the next e-book, we will have an element required to be included in each chapter and this will be mentioned in the contest thread itself. I recall this helped in a previous e-book contest as it maintained the storyline and tempo very nicely.
Now, regarding Rajee's suggestion that "Authors should not be differentiated as the best or worst. Therefore, there shouldn't be any winner or runner-up or losers in this story writing contest." - now, this is unacceptable. It is a contest, which means winners and losers. Otherwise, why call it a contest in the first place! Also, just because the other participants do not get prizes does not mean that they are the "worst". Obviously, we are not going to give prizes to each and everyone and we do give cc to others as well. As for revealing the parameters for judging the prize winners, well, I don't think this should be revealed. Do judges of contests generally do so? Rest assured, we are methodical and everything is done in a very systematic manner. We also take care not to include participating editors on the jury panel and they, too, are not privy to the discussions of the jury panel. However, two things I would like to reveal is (i) that we decided not to consider typos and (ii) based on our system, there is something which participants should also do for every e-book contest - make a list of the characters with their names in all the previous chapters. This right away helps to understand who is who, what the story is revolving around and hence you just cannot go wrong and get confused.
Yes, Aditya totally confused the characters and, yes, Neethu's ending chapter was a good one, with the element of using the fire-cracker in the pocket (though isn't that dangerous?!)
It is unfair to say that the author of Chapter 1 did not have any challenge. In fact, it is a challenge to begin a story as the storyline will develop based on that first chapter. It is also unfair to say that only the first few chapters were "coronated". Come on! Being the first few authors is not the reason for them being selected as the winners.
I repeat - read rules carefully, follow the instructions given, read the storyline from chapter 1, make a list so as not to confuse the characters, introduce something relevant and unique. A chapter with simple words can also win a prize, by the way.
When people come at you with their worst, you should come at them with your best (advice given to Selena Gomez by her mother, quoted in Time magazine.)