Thiruvananthapuram: The local self-government department is exploiting traders through the K-Smart system, turning it into a smart lab for new exploitations, according to S S Manoj, state president of the Kerala Vyapari Vyavasayi Ekopana Samithi (KVVES).
Allegations at KVVES Meeting
Speaking at the inauguration of the KVVES Thiruvananthapuram district secretariat meeting, Manoj highlighted issues with the 2024 amendment to the Municipal Act. Under the amendment, traders who are required to pay a fee of Rs 1,000 by February 28 can pay a late fee of just Rs 200, which is 20% of the licence fee, for the first year. He noted that the annual fine was reduced to 20% due to the strong intervention of local self-government minister M B Rajesh in 2024.
Penalty Structure Changes
After 12 months, an additional 25% must be paid on top of the late fee. Previously, an additional 25% fine was added every 10 days. However, complaints are rising that traders who submit applications in April after the deadline of February 28, 2026, are being charged an additional fine of Rs 2,000 along with the Rs 200 late fee. This is said to be against the rules according to Section 11(4) of the amended Kerala Municipality Act of 2024.
K-Smart System Under Fire
Manoj alleged that K-Smart is collecting both the revised lower rate of 2024 and the increased rate prior to the 2024 rule amendment from traders. He claimed there is a bureaucratic regime in the local self-government department aimed at exploiting traders. He demanded that the unauthorised fines collected through K-Smart be stopped immediately and that urgent measures be taken to refund the traders who have already paid.
- Traders face dual fines: both the new lower rate and the old higher rate.
- KVVES calls for immediate halt to illegal collections.
- Refunds sought for affected traders.
Manoj further stressed that the government must ensure compliance with the amended act to protect traders from exploitation. The KVVES plans to escalate the matter if no action is taken.
