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Nagpur City

Government is considering to amend the 2019 GR on corporation rent: Eknath Shinde, Ud Minister

by TLN Team October 6, 2021October 6, 2021
written by TLN Team October 6, 2021October 6, 2021
Government is considering to amend the 2019 GR on corporation rent: Eknath Shinde, Ud Minister

A delegation of Chamber of Associations of Maharashtra Industry and Trade (CAMIT) led by Dipen Agrawal President in the gracious presence of Kishore Appa Patil MLA Pachora and Bandudada Kale, former Mayor of Jalgaon met Eknath Shinde, Minister for Urban Development and Public Works at MSRDC office, Nepensea Road, Mumbai to discuss the hardships faced by corporation’s galedharaks (tenants) across the state including at Nagpur.

Dipen Agrawal, President – CAMIT welcomed Eknath Shinde with flora bouquet and submitted a memorandum requesting him to intervene and resolve the problems faced by tenants of Municipal Corporations across the state due to unilateral exorbitant increase in rent by corporations.

Mitesh Prajapati, secretary – CAMIT, said that the unilateral steep increase in rent by Municipal Corporations for their Bazar Samiti properties is ranging between 100 to 1000 times and in some cases more than 1000 times. On the failure of the tenant to concede to this unilateral decision, authorities are threatening to dispossess the tenants. This unmindful step of the corporation has adversely affected the livelihood of many small and marginal traders and numerous self-employed (the only) bread earner of their families. These unreasonable and arbitrary actions on part of the administration has resulted in resentment and unrest among the small and marginal traders (tenants)

Rajendra Patil, Suresh Patil and Tejas Depura from Jalgaon, apprised the minister for UDD with the fact that the state administration in September 2019 notified the Maharashtra Municipal Corporation (Renewal of Lease or Transfer of Immovable Property) Rules without following due process of law. The then administration neither provided opportunity of personal hearing to objectors nor considered the objections submitted in response to the draft rules published in May 2019 calling objections and suggestions. Thus, the 2019 notification should be withdrawn and coercive action by Jalgaon Municipal Corporation be stayed, demanded Suresh Patil.

Dipen Agrawal on behalf of galedharaks across the state requested Eknath Shinde to intervene and withdraw the September 2019 notification and suggested

a) In cases where only land is leased/licensed by Corporation the annual lease rent/ license fee should be fixed at 1% of the value as per ready reckoner;

b) In cases where shop/otta is leased/licensed by Corporation the annual lease rent/ license fee be fixed at the rate of 2% of the value of construction plus 1% of the value of proportionate land as per ready reckoner;

c) 10% increase in lease rent/license fee every 3rd year;

d) Renewal shall be for 30 years Lease/license term;

e) The lease/license should be transferable and the transfer fee to be charged equal to one-month rent/fee for transfer within blood relation and equal to three months’ rent/fee for transfer outside blood relation

f) The agreed new lease rent/license fee to be made applicable from FY 2021-22. Lease rent/license fee for an earlier period be charged and collected as per the prevailing rent/fee.

Eknath Shinde after patiently hearing the submissions immediately ordered stay on any coercive action as he was convinced that GR dated 13 September 2019 needs to be amended and he also assured the delegation to do the same at the earliest.

Prominently present in the meeting were Bhushan Gagrani Secretary UD and Satish Kulkarni Commissioner & officials of Jalgaon Municipal Corporation through Video Conference. Mitesh Prajapati on behalf of galedharaks/tenants thanked the Minister for his valued time and favourable decision on submissions of the delegation.

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