While the Mormugao Municipal Council (MMC) has been complaining about acute shortage of funds, the council seems to have ignored a serious charge that an estimated 90% of shops in municipal markets and its other buildings are without trade licenses, thereby depriving the council of valuable revenue.
The MMC administrative staff and its chief officer Megnath Porob have blamed the lessees of municipal buildings and shops spread across the port town for failing to pay rent, but the council has failed to penalize those shop owners undertaking business without valid trade licenses.
“Around 90% of shops in the municipal markets and other buildings of the council are doing business without any trade licenses. In the municipal markets, the original business activities included groceries, cloth stores, tailoring and other traditional business. But ever since the fish market was shifted to the present location near the city bus stand, activities in the old fish market started declining, thanks to our politicians,” informed an officer from the MMC accounts section.
“As the shopkeepers could not do much business, they sublet the shops to others who have now converted these shops either into readymade garments stores or to sell Chinese goods without changing the trade licenses.”
“While the original lessee collects huge amounts in the form of rent, they have failed to pay the MMC its dues. All this takes place as some councilors and some staff from the MMC recovery section are hand in gloves with the original lessees and with those who have taken the shops on rent,” the officer added.
“This is not only true in the municipal markets. Other shops in private premises have also changed their business from the original trade to some new lucrative business without seeking new trade license from the council.”
“If the MMC staff employees responsible for the recovery of dues do their duty seriously, the amount collected in the form of the new trade licenses can meet the salary of the entire staff for an entire month,” said the officer.
When Herald contacted many sub-lessees who had taken shops on rent, they immediately claimed to have valid trade licenses for their new business activity. Asked to produce the trade licence, the sub-lessees then stated that the trade license was either with a family member or was at home.
“All municipal inspectors and the staff from the recovery, accounts and taxation section are aware of the change in business,” admitted Shaik Makbul, a sub-lessee who had changed the original business.
“Everyone in the council is only interested in greasing their palms and we are forced to do so, as we are not the original lessees. We are ready to apply for new trade licenses, but the original owners do not give us NOCs for fear that we may someday claim ownership of their shops,” said Makbul.
Expressing similar views, another sub-lessee, Shantaram Naik, added that they pay huge rent to the original lessee who does not allow them to obtain trade licenses for the new business activity.
“If the original lessees do not allow us to obtain new trade licenses, then the new trade licences should be given to the original lessees and we should be given an attested copy of the new licenses, instead of being harassed by MMC officials,” said Naik.
When contacted, former MMC Chairperson Shekar Khadapkar dismissed allegations that many councilors and administrative staff had allowed sub-lessees to operate without proper trade licences, adding that the licences did not have any proof.
“If shops in the municipal market are operating without relevant trade licenses, their shops should be sealed and new license fee should be recovered from the original lessees,” said Khadapkar.
