Bhubaneswar: Tension flared at Khao Gali near Ram Mandir in Bhubaneswar on Thursday evening after the Bhubaneswar Municipal Corporation (BMC) shut down all shops over non-payment of rent.

An enforcement team of the civic body, accompanied by police personnel, arrived at the spot and closed the food stalls and outlets. Shopkeepers said they could not sell the food items they had prepared at home for the evening business. They strongly opposed the closure drive and staged a protest, surrounding BMC officials and demanding more time to clear their dues.

About the issue

Khao Gali has 31 shops selling fast food and various other items. Vendors said the stalls were earlier allotted at a minimal fee, but after the new BMC council was formed in 2022, each shop was asked to pay a security deposit of Rs 25,000 and a monthly rent of Rs 7,200. They alleged that despite the increased rent, the promised vending zone facilities and infrastructure were not provided.

In 2023, the shopkeepers approached the Orissa High Court seeking a reduction in rent. The court issued an interim order restricting BMC from collecting the revised rent and directed the lower court to examine the matter. Since the case is still under trial, the vendors stopped paying the monthly rent of 7,200 rupees.

Later, through discussions between both sides, BMC reduced the rent. Shops numbered 1 to 15 were fixed a monthly rent of 3,000 rupees, while shops numbered 16 to 31 were asked to pay 2,000 rupees.

Allegation of vendors

Khao Gali Shop Owners’ Association president Rashmita Khatei said BMC had recently held a meeting with her and other vendors on November 3. According to her, additional commissioner Ratnakar Sahu and deputy commissioner Ajay Mohanty were present in the meeting. The vendors had asked for permission to pay their dues in instalments, and BMC had agreed.

“Despite this understanding, the enforcement team came on 7 November to shut down the stalls. After we protested, they left the spot. Today they returned with senior officials, disconnected the lights and even damaged some parts of the shops,” Khatei alleged. She added that many vendors had already paid amounts up to Rs 5,000, yet no receipts were given. She also claimed that they were asked to deposit money into a private account belonging to one Raju Mallia.

She said the eviction without proper orders was unjust. “We are ready to pay, but asking us to clear the entire due at once is impossible for small vendors. We will continue our protest until we get justice,” she said.

BMC's reaction

Meanwhile, BMC officials said the parents’ association of nearby St. Joseph’s High School had earlier complained about safety and sanitation issues caused by the food zone. They said the decision to remove the stalls was taken earlier, but was kept on hold following the vendors’ requests. Despite two rounds of rent reduction, the shopkeepers allegedly failed to pay rent. At the corporation meeting held on October 31, a final decision was taken to close the Khao Gali shops.