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LMC sets 8-day deadline for shopkeepers to clear ₹6 crore rent dues
Lucknow Municipal Corporation has given shopkeepers 8 days to clear ₹6 crore in rent dues or face shop sealing and attachment proceedings.
The Lucknow Municipal Corporation (LMC) has given shopkeepers of two major city markets eight days to clear nearly ₹6 crore pending rental dues. The civic body also warned that it will seal shops and begin attachment proceedings if the dues remain unpaid.
The dues have accumulated for nearly nine years after the civic body revised shop rents in 2017 according to the district magistrate circle rates. Since the revision, several shopkeepers stopped depositing the updated rent, resulting in a large backlog for the municipal corporation.
LMC tax assessment officer (rent) Rajesh Kumar Verma said the pending amount largely relates to shops in Mohan Market in Aminabad and Gurunanak Market near Charbagh.
According to Verma, Mohan Market, located in the busy Aminabad area, has 327 shops. So far, the municipal corporation has recovered around 60% of the total rent from shopkeepers, while approximately ₹1.75 crore still remains pending.
Mohan Market, popularly known as Refugee Market, was established in 1948 to provide livelihood to refugees who migrated from Pakistan after the Partition in 1947. Over the decades, the market has evolved into one of the busiest commercial hubs in the state capital.
The situation is more severe in Gurunanak Market near the Charbagh area. The market has around 254 shops and hotels, but only seven to eight shopkeepers have deposited the rent so far after the revision. As a result, nearly ₹4.75 crore in rental dues remains pending.
To address the issue, Verma chaired a meeting with Gurunanak Market shopkeepers on Monday and discussed the pending dues and payment delays. During the meeting, LMC officials directed the shopkeepers to deposit the pending rent within eight days.
“Shopkeepers must deposit the rent within the given time period. If they fail to do so, the municipal corporation will begin sealing the shops and start the attachment process,” Verma said.
During the meeting, several shopkeepers sought relaxation in the revised rental rates and said they would raise the matter before corporators and the municipal corporation’s executive committee. However, LMC officials clarified that the dues must be cleared within the given deadline.
Municipal commissioner Gaurav Kumar confirmed that the civic body had earlier paused the enforcement drive due to the festival season.
“We had temporarily stopped the drive because festivals were around the corner. Now that the festive period is over, we will take action against those who fail to deposit the rent,” Kumar told Hindustan Times.
LMC chief tax assessment officer Vinay Rai said the corporation calculates the rent based on the area of the shop and the residential property tax of that locality. The civic body multiplies the residential tax by five and adds additional charges to determine the monthly commercial rent.
After the municipal corporation intensified the recovery drive, some shopkeepers started depositing the pending rent. However, officials said a large portion of the dues is still outstanding, prompting the corporation to issue a strict warning and set a deadline for payment.
