STATE GOVERNMENT IS RESPONSIVE TOWARDS ISSUES OF TRADERS – EKNATH SHINDE
Nagpur :-At the outset Dr. Dipen Agrawal, President of Chamber of Associations of Maharashtra Industry and Trade (CAMIT) welcomed Chief Minister, Eknath Shinde with a floral bouquet in prominent presence of Krupal Tumane MP, Ramtek and submitted memorandums highlighting harassment of traders by Local Body Tax department across the state under the garb of LBT Assessment. He also appraised about the issue of Nagpur Metropolitan Region Development Authority (NMRDA) and he further brought to the notice of CM about the exorbitant hike in rent by Corporations & their coercive action on traders.
Dr. Agrawal on behalf of traders of Maharashtra expressed his gratitude towards Eknath Shinde about Local Body Tax being abolished (LBT with effect from August 2015. Though LBT was abolished in 2015 but the ghost of LBT is haunting traders now and then, department in routine are passing ex-party (best judgement) orders raising inflated and fictitious tax demands and using them to justify continuance of LBT Department. Records from LBT Appellate Authority will evidence the correctness of this statement. He also informed that LBT Department in various Corporation indulged in issuing back dated assessment orders for previous financial years. He appealed to CM that the issue requires his urgent attention, intervention and directions for closure of LBT Department in all Municipal Corporations with immediate effect to ensure ease of doing business in the state and save traders from unnecessary harassment.
Eknath Shinde acknowledged that he is aware of the issue. He assured to discuss the issue in cabinet and ensure that the issue is addressed on priority basis.
Dr. Dipen Agrawal informed CM, that since last few years Municipal Corporations across the state stopped renewing lease/license of property leased/licensed by them. In 2019 the state government came up with Maharashtra Municipal Corporations (Renewal of Lease or Transfer of Immovable Property) Rules, 2019. These Rules were strongly opposed by trade associations. However, after its implementation the litigation between the lessee/tenants and Corporations went to court added Dr Agrawal.
After great persuasion by your good office with then Hon’ble Minister for Urban Development, Eknath Shinde conceded to the demand to put the notification dated 13/09/2019 in abeyance and review the exorbitant annual rent at 8% property value and fix the annual rent acceptable to all stakeholders.
After you raised the issue on the floor of the house as LOP, the State government stayed the operation of notification dated 13/09/2019 and constituted a committee of government officers to review and fix fresh rent. When we approached few members of the committee to submit our suggestions’ we learnt that the committee is of opinion that the notification in question does not apply to the Licensee holder.
Hence, in the background of above facts and circumstances Agrawal requested CM, to intervene and have the pending notification issued and fix the rent at 0.5% of Ready Reckoner value for residential & 1% for commercial lease holder Galedharaks . He further requested to notify similar rules and frame a single policy for the Licensee Galedharaks across the state and in cases where shop/otta is licensed by Corporation the annual rent be fixed at the rate of 2% of value as per ready reckoner and as the lease/license fee will be calculated on ready reckoner the clause of periodic increase dose not survive also the lease / license should be transferable and 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 and the agreed new lease rent/license fee to be made applicable prospectively and not retrospectively.
Eknath Shinde said that the issue is under active consideration and assured to look into the matter and discuss with Chief Minister, Eknath Shinde to resolve the issue to the satisfaction of all stakeholders.
Dr. Dipen Agrawal further informed Eknath Shinde that the first notification declared 5 Km area touching outer limits of Nagpur Municipal Corporation (NMC) as Nagpur Metro Region issued in 1995 which was thereafter increased time to time to present limit of 25 Km from boundary of NMC. In 2010 Nagpur Improvement Trust (NIT) was entrusted with responsibility of Special Planning Authority for Nagpur Metro Region the limits. In 2012 NIT passed resolution for preparing development plan for Metro Region and published Draft Development Plan (2012-2032) calling objection and suggestions, in the year 2015. In 2017 Nagpur Metropolitan Region Development Authority (NMRDA) was established. In 2018 Final Development Plan (2012-2032) for Nagpur Metro Region was sanctioned and notified. NMRDA action is based on following three main reasons:-
1) Side margins are not as per 2012-2032 DCR; Dr. Agrawal highlighted that majority of units i.e., 59% were established before the 2012-NIT resolution and 85% were established before the first publication of 2015-Draft Development Plan (2012-2032), and pointed out that it is unjust on part of NMRDA to expect these units to maintain the margins prescribed in DCR (2012-32).
2) Building plan/ Non-agriculture use is not sanctioned by competent authority; Dr. Agrawal pointed out that under MRTP Act the power to change use of land is can be delegated to Thasildar and powers to authorise development to Gram Panchayat concerned. Invoking these powers Thasildar was approving and sanctioning NA Permissions and Gram Panchayat was sanctioning Building Plans. The units in good faith have taken these permissions from them and further submitted to other Government agencies.
3) Land earmarked for purpose other than industrial/commercial; MRTP Act provides for survey and preparing ‘existing-land-use’ map by Planning Authority after its declaration of intention of preparing a Development Plan. It is surprising to note that the area of many units established prior to declaration of intention of preparing Development Plan is not classified under industrial/commercial zone.
Dr. Dipen Agrawal humbly requested CM to grant an Amnesty Scheme for regularization wherein interest & penalty would be waived and also direct the authorities to notify that the MSME units established prior to 06/01/2018 (the date on which the DCR 2012-2032 for Nagpur Metropolitan Region was notified) should be saved from the provisions of the said DCR.
Eknath Shinde said that the government is sized with issue and assured to resolve the matter in the best interest of all stakeholders.
Dr. Dipen Agrawal, President-CAMIT on behalf of business community of the state expressed his gratitude towards Eknath Shinde, Chief Minister, Krupal Tumane, Member of Parliament, Ramtek for being sensitive towards the issues of trade & industry of the state.
