The New Indian Express has made this interesting story Officially, Vendors pay ground rent of Rs.10 per day. All the vendors and hawkers have to pay a ground rent to the Corporation each day and the same is Fixed at Rs.10 as per the tender agreement.
If we assume that around 3000 vendors do business in corporation limits the daily collection is 30,000 per day, however the amount which the corporation has fixed comes to just Rs.8,220 per day as the tender has been alloted at an annual rent of 30 lakhs where as the contractor is collecting to the tune of Rs.1.08 crores.
So, the contractor makes money and makes huge money in this case.
Now the other part of story, the story goes further to state that sometimes during festivals the vendors from 100 -300 per day as well and all are handed over a Rs.10 ticket.
The corporation is in dearth of funds but is loosing revenue here which is easily collected. The corporation has increased the property tax by 15% but has not increased the hawker fee.
Corporators and officials who did not want to be quoted said that there is big political lobby behind the rent collecting business and they will land in trouble if they spoke of the matter openly.
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