The Surat Textile Market (STM), a well-known centre for textiles in Surat for many years, may lose its lease as a result of significant unpaid dues. The Surat Municipal Corporation (SMC) has sent the STM administration 13 notifications, but the unpaid lease sum of Rs. 81 crore has still not been paid.
The SMC opted to extend the leasing deal for STM for a further 100 years at a total cost of Rs. 127 crore after it expired in 2018. Regretfully, the market hasn’t fulfilled its financial commitments under this extended contract.
As per the terms of the leasing agreement, market dealers who have paid Rs. 15 lakh over a ten-year period would be granted a 100-year lease. This works out to Rs. 12,050 monthly or Rs. 1.50 lakh annually. Traders are only required to pay Rs. 1,250 per month for the lease over the course of 100 years.
According to an official source, the lease will be terminated if the payments are not made on schedule. However, serious questions about the SMC’s policy implementation have been raised due to the market management’s continued inability to pay.
