Quarter-century-old Kudumbashree hotel in Kochi staring at potential shutdown

A quarter-century-old Kudumbashree hotel near Vyttila in the Ponnurunni division in Kochi city Corporation is staring at potential shutdown from Saturday (October 25, 2025) in the wake of a notice issued by the non-tax wing of the Corporation over alleged rent dues.

According to the notice dated September 9, 2025, issued by the Corporation’s Joint Secretary, the hotel—New Akshaya—operating from the Corporation’s Ponnurunni Shopping Complex, owes ₹1.38 lakh in rent, including penal interest. The amount has been calculated at ₹8 a sq ft for the 1,069-sq-ft shop for the period from October 2022 to May 2023. Officials from the Corporation’s Vyttila zone informed Kudumbashree members managing the hotel that it would be shut down on Saturday if the dues are not cleared.

Initially run by 10 Kudumbashree members, the hotel now has 12 members drawn from five neighbourhood groups. It was designated a Janakeeya Hotel under the State government’s Hunger-Free Kerala project, launched during the 2020-21 financial year, offering lunch at ₹25. Under the scheme, rent, electricity, and water charges are to be borne by the local body concerned.

“We continued to pay utility charges for nearly three years after being categorised as a Janakeeya Hotel. When the government stopped the subsidy, we struggled to manage the expenses and approached the Corporation for support. That’s when we were informed that, as a Janakeeya Hotel, we were not required to pay rent,” said Omana Ratnakaran, secretary of the Kudumbashree unit managing the hotel. Subsequently, they stopped paying utility charges.

Certificate submitted

However, a few months ago, the hotel received a notice demanding rent dues of around ₹1.48 lakh. When the Kudumbashree unit cited its Janakeeya Hotel status, it was asked to produce a certificate confirming the same. On July 2, the Kudumbashree District Mission, Ernakulam, certified that the hotel was indeed a Janakeeya Hotel. The certificate was submitted to the Corporation, and the members were assured that the matter would be placed before the council for a favourable decision. Instead, they received another notice last month demanding the rent dues.

Ponnurunni councillor C.D. Bindu claimed that the hotel no longer enjoyed the Janakeeya Hotel status and that the Kudumbashree unit had failed to clear the rent dues despite repeated reminders. “They have been asked to pay at least part of the dues and submit a fresh application presenting their case,” she said. On Kudumbashree Mission certifying it as a Janakeeya Hotel, Ms. Bindu said she would verify the claim.

Audit objections

Corporation sources from the non-tax wing said the notice was issued to avoid audit objections. “They have been asked to submit documents confirming the hotel’s Janakeeya status, as the Corporation’s revenue wing has no such records. The welfare standing committee is considering their case favourably,” an official said.