Civic body to auction 60 sites in Sector 7 | chandigarh | Hindustan Times
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Civic body to auction 60 sites in Sector 7

chandigarh Updated: Oct 28, 2014 09:19 IST
HT Correspondent
HT Correspondent
Hindustan Times

Acting on the directions of the Punjab and Haryana high court, the members of municipal corporation (MC)’s finance and contract committee finalised a new policy for the sale and purchase of second-hand cars at the biggest car bazaar of the region at Sector 7 here on Monday.

The policy will be tabled in MC House meeting for final approval on Friday. The civic body has decided to auction all 60 sites in front of showrooms in the Sector 7 market. Those residents of Chandigarh who deal in used cars or have an office in Chandigarh will be allowed to take part in the auction. The period will be two years which can be extended up to three years. Reserve price of auction of each site will be Rs 3 lakh. Apart from Rs 30,000 as earnest money, applicants will have to deposit additional amount of Rs 20,000 on the day of auction.

Earlier, only 43 car dealers were functioning from all 60 sites in the market, while the rest moved court. Thereafter, on August 11, the court directed the MC to frame a policy within three months.

Saurabh Joshi, a member of the committee, said they had made amendments in the draft and extended the period from one year to two years. He said the period could further be extended up to three years. Also, the site plan would be prepared and uploaded on the MC’s website.

Five years ago, the finance and contract committee had approved that car dealers would park their vehicles in front of showrooms allotted to them in Sector 7, but there are a total of 60 showrooms and only 43 car dealers are using the said space.

Surprisingly, these dealers are also using four parking lots of the MC for the same purpose. Currently, the MC is charging Rs 2,809 from one car dealer and from 43 car dealers, it earns around Rs 1.2 lakh per Sunday and makes Rs 62 lakh in a year.