Mohali MC relaxes penalty for trade licence renewal

Earlier, the penalty was ₹1,000 and ₹100 per day till renewal was sought; now, the fine will be levied depending on when the application is filed through the financial year

In a major relief for traders and industrialists, the Punjab local bodies department has allowed the Mohali municipal corporation to relax the penalty for renewing trade licences.

According to the Punjab Municipal Act, all commercial and industrial establishments within the Mohali MC limits have to get the trade licence renewed every year after March 31. (HT Photo)

According to the Punjab Municipal Act, all commercial and industrial establishments within the municipal limits have to get the trade licence renewed every year after March 31.

While there are around 10,000 traders in the city, only 1,000 approach MC after expiry of their permits.

Earlier, the penalty was ₹1,000 and ₹100 per day till renewal was sought. Now, the fine will be levied depending on when the application is filed.

All renewals will invite a ₹1,000 fine. However, if the application is filed in the first quarter of the year, 25% of the licence fee, which ranges from ₹500 to ₹4,500 depending on the trade, will be levied as penalty.

The penalty will increase to 50% licence fee, if paid in the second quarter, 75% in the third quarter, and to 100% in the fourth quarter.

The relaxation comes after MC forwarded a proposal in this regard in June this year.

MC secretary Ranjeev Kumar said, “Earlier defaulters had to pay a hefty penalty, but now they just have to pay a ₹1,000 fine and a portion of the licence fee. So far, trade licences brought in ₹30 lakh a year for MC, but with relaxations, this should increase to ₹1 crore. The traders, who have not applied or renewed their licence, should do it immediately.”

Inspectors to check licences

The civic body has also appointed inspectors and divided the city into four zones to check the licences.

Phases 1, 2, 4, 5 and 6, and villages Shahimajra, Madanpura and Mohali will be part of Zone 1.

Zone 2 includes Phases 3A, 3B1, 3B2 and 7, Sectors 70 and 71, Mataur village, and Industrial Area Phases 7, 8, 8-A and 8-B.

Phases 8, 9, 10, 11, Sectors 48-C, 65-A, 66-A, 66, 67, 68 and 69, Kumbra village and Industrial Area Phase 9 are listed in Zone 3.

Zone 4 will comprise Sectors 76 to 80 and Sohana village.