Tamil Nadu govt. fixes different leases for TNCA, MCC, TNCA Club

Lease and rent charges are determined based on whether it is a sports body or a club

Special Correspondent
November 27, 2019 01:35 IST

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The State government, while giving its nod for the renewal of lease for the Tamil Nadu Cricket Association (TNCA), Madras Cricket Club (MCC) and TNCA Club, has decided to go in for three different leases, instead of the earlier arrangement of one.

The government has differentiated the TNCA from the other two, with regard to determination of the period of lease and rent charges.

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These are among the salient features of an order issued by the Revenue and Disaster Management Department last week.

Early this month, the Cabinet gave its approval for the lease renewal, putting to rest the long-pending issues between the three bodies and the government.

The November 19 order has fixed the period of lease as 21 years for the TNCA and 12 years for the MCC and the TNCA Club, which is a social body.

Basis for rent

While calculating the amount of arrears, the quantum of gross audited annual income has been determined as 5% for the Tamil Nadu Cricket Association and 15% for the two social clubs.

This also forms the basis for the lease rent to be paid in the coming years.

The rate of hike over the minimum amount will be 10% for every block of three years. The figures of the minimum amount are: ₹3 crore for the TNCA; ₹1.5 crore for the MCC and ₹50 lakh for the TNCA Club.

The period of arrears spans from 2000 to 2018 for the association and the MCC and 2002 to 2018 in respect of the TNCA Club.

The association will have to pay approximately ₹19.16 crore to the government; the MCC – ₹10.94 crore and the TNCA Club – ₹2.18 crore.

Rationale explained

Explaining the rationale behind the differentiation, official sources say the decisions are based on recommendations of a committee of senior officials, who went into the matter exhaustively.

The differentiation has been made on the ground that the TNCA is a sports body, whereas the clubs involve an element of leisure and entertainment.

At the time of working out three different leases for the bodies, Chennai District Collector will demarcate the areas.

The three bodies will admit officials from the Revenue, Finance and Sports Development & Youth Welfare departments with voting rights.

Welcoming the government’s move, a functionary in a leading club says that the government should deal expeditiously with all the pending land lease renewal issues concerning other social and sports clubs, which are 100-year-old.

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