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    HC tells CMDA to reply on high rates for Koyambedu shops

    The Madras High Court has ordered notice to the Chennai Metropolitan Development Authority (CMDA) on an appeal seeking to stay the auction of unsold shops at Koyambedu Wholesale Market Complex (KWMC).

    HC tells CMDA to reply on high rates for Koyambedu shops
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    Koyambedu Wholesale Market Complex

    Chennai

    The vacation bench comprising Justice N Satish Kumar and Justice PT Asha before whom the plea moved by Chennai Koyambedu Market Bhadikapatta Vyabarigal Nala Sangam ordered notice to CMDA returnableby June 6.


    The plea had contended that while shifting the vegetable wholesale market from Kothavalchavadi near George Town (GT), the GT traders there were offered a rent of Rs 375 per sq.ft while for non-GT traders it was fixed as Rs 450 per sq.ft. This rate was offered by the CMDA to ensure that all traders shifted to Koyambedu from the Kothavalchavadi area.


    While so, out of the 492 shops as many as 369 shops in the Koyambedu Wholesale Food Grain Market Complex adjacent to the existing vegetable Market Complex were allotted by way of ‘draw of lots’ at the rate of Rs 8,446 per sq.ft. Now, for the remaining 23 vacant shops, the authorities published paper publication on December 21, 2018 fixing different rates at the rate of Rs 18,750/- per sq.ft without any basis.


    Noting that the process of sale of all the shops, including those in the vegetable market complex will be through auction, which is against the policy of allotment, the plea said while officials had failed to respond on the issue, a single judge also set aside the plea leading to the present appeal.

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