Shillong, Aug 13: After Blinkit shut down operations in Shillong, the Hynñiewtrep Integrated Territorial Organization (HITO), East Khasi Hills, has flagged another multi-purpose retail shop, Somoi Groceries, for allegedly operating without a proper trading licence from the district council.
According to the group, the local quick-commerce and hyper-local delivery startup is conducting business only on the basis of a village no objection certificate (NOC).
HITO stated that a NOC and a trading licence issued by the Khasi Hills Autonomous District Council (KHADC) are not the same. It cited the United Khasi-Jaintia Hills District (Trading by Non-Tribals) Regulation, 1954, which requires non-tribals engaged in wholesale or retail trade to obtain a licence from the district council.
The group also raised concerns over the shop’s app-based delivery system. HITO said such a model could create intense competition and adversely affect small shops and local traders who have built their businesses over many years.
It recalled that the KHADC had recently stated it would carefully examine business models linked to quick-commerce and app-based delivery platforms that may impact small traders. HITO said the requirement of a trading licence must apply to all business entities operating under the KHADC.
HITO has urged the KHADC, the District Council Affairs Department and other competent authorities to conduct a detailed inquiry into the legality of Somoi’s operations. It called for verification of the trading licence and clarity on whether a NOC can legally authorise retail trade in areas under the district council.
It also requested an examination of the app-based delivery service to ascertain whether all necessary licences and permissions have been obtained.
HITO said it is not against technology, digitalisation or new opportunities in trade, but maintained that progress must be lawful and considerate of local livelihoods. “We will not allow any business entity to operate as it pleases within Hynñiewtrep by ignoring or disregarding the requirements of the law,” HITO stated. It added that if a valid trading licence exists it should be produced for verification, and if not, appropriate action should be taken.
HITO said protecting local traders is a demand for the rule of law, a level playing field, and the protection of institutions established under the Sixth Schedule.
