15th July, 2015

TRADERS STAGED DHARNA ON RENT ACT AT DELHI

RENTED SHOPS TAKEN ON PUGREE SHOULD BE PROTECTED IN MODEL TENANCY ACT

Thousands of traders from different parts of Delhi today staged a Sit-In at Jantar Mantar at New Delhi  demanding protection of pugree tenants in Model Tenancy Act 2015 which has been proposed by Ministry of Housing and Poverty Alleviation, Government of India.The Dharna was organised by Delhi Rajya Vyapar Sangthan.

Mr. Narender Madan, Chairman, Delhi State Chapter of the Confederation of All India Traders (CAIT), Mr. Ramesh Khanna, President, Delhi State Chapter of the Confederation of All India Traders while supporting the traders sitting on Dharna said that the issue will be taken up with Union Urban Developoment Minister Mr. Venkiah Naidu. " We shall seek an appointment with Mr. Naidu and will apprise him the suffering of tenents in Delhi who are facing eviction on frivolous grounds of " bonafide need"- said Mr. Khanna.

The traders at the Dharna were deeply agitated and shouted slogans " Dukane Hamari-Paisa Hamara, Phir Bhi Dukandar Bechara, Paguree dekar Dukanen Lee Hain- Vyapaar Kiya Hai Apradh Nahin, Jo Nahin Kare Vyapari Ka Maan- Uska Kaise Karen Samman" . 

The traders have demanded that like Rent Acts of Gujarat, Maharashtra, West Bengal, a cut off date of 1.1.1996 should be enshrined in Tenancy Act for Delhi in order to protect the old tenancy which were obtained after paying Pugree ( amount equal to cost of property). They also demanded that decision of a 5 Judge Bench of Supreme Court in case of Gian Devi which has upheld the distinction between commercial and residential properties should be recognized. They also demanded that bonafide can not be unilateral. As per principle of natural justice, the bona fide need of tenant should also be considered since from one shop not only the family of the family of the trader but families of its employees and others largely dependent upon such shop for their livelihood.

The traders at the Dharna said that the properties held by them as Tenant were awarded to them on "Pugree" (actual amount of the rented property) and that is why nominal rent was charged from them. Since the laws prevailing at that time did not allow Landlords to bifurcate or sold their properties, the concept of "Pugree" was devised as a mid-way. The landlords re-invested the “Pugree” amount in many other properties thereby multiplying the amount received by them as “Pugree” from tenants. It is on the same lines as DDA while taking full amount of the property at that time awarded the same on lease on nominal annual lease amount basis and such properties are being converted into freehold by DDA.

The trade leaders expressed surprise that before year 2008 there was no case of bona fide requirement of any landlord in Delhi but suddenly after year 2008 there is a stream of bona fide cases which is the major cause of eviction of tenants from their shops. It shows that high prices of properties are tempting the landlords for such eviction which can not be justified.

They further said that in early days post-Independence to period of 1980s, there were very few markets in Delhi. For meeting commercial space requirements of Delhi, the traders taken properties by paying "Pugree" with a nominal rent and nurtured over decades and generations with their hard labour, capital and resources in building markets and goodwill. It is recalled that the Secretary, Ministry of Urban Development, in an affidavit filed in Supreme Court in a sealing case in 2007 admitted that Government Agencies could develop only 16% of commercial space in Delhi in last four decades. Such admittance of the Government corroborate the fact that rest of the 84% commercial space in Delhi was developed by traders through their own resources and now they are called to evict the shops rendering them absolute jobless and further posing a great question for livelihood of their employees.