Kerala traders allege exploitation through K-Smart system

Thiruvananthapuram: Local self-govt department is exploiting traders using K-Smart system, turning it into a smart lab for new exploitations, said S S Manoj, state president of Kerala Vyapari Vyavasayi Ekopana Samithi (KVVES).He was speaking at the inauguration of KVVES Thiruvananthapuram district secretariat meeting. According to the 2024 amendment to the Municipal Act, traders who are supposed to pay a fee of Rs 1,000 by Feb 28 can pay a late fee of just Rs 200 (20% of the licence fee) for the first year, he said. The annual fine was reduced to 20% due to the strong intervention of local self-govt minister M B Rajesh in 2024. 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, he said. However, complaints are rising that traders who submit applications in April after the deadline of Feb 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 is collecting both the revised lower rate of 2024 and the increased rate prior to the 2024 rule amendment from traders. He alleged that there is a bureaucratic regime in the local self-govt 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.