The hasty and ill-considered decision by the majority Bombay Parsi Punchayet (BPP) trustees last July to discontinue the Rs 750 service charge has thrown up a ticklish problem. Aside from further depleting the bankrupt trust’s finances, the move lets off those who never paid the service charge to begin with. The levy was introduced in February 2017 and waived effective September 2020. The Poll Khol Sacchu Bol (PKSB) online newsletter published and edited by Kaikhushroo Irani in its June 1 issue has carried a form titled "Format for demand of service charges” addressed to the BPP trustees calling on them to refund "my payment totaling Rs 32,750 (Rs 750 x 43 months) immediately and oblige. I am certain that the trustees will be fair and equitable in their approach and the benefits of this largesse will be shared by all the Parsi beneficiaries staying in the baugs and not just a few chosen individuals.” PKSB goes on to state that once the demand note is sent, the BPP "will then be bound by law to refund your hard-earned money, which was taken from some and waived for others.”
Kersi Randeria (l) and Viraf Mehta
In the Parsi Times (PT) issue of May 29, BPP trustee and PT owner Kersi Randeria, noting the incongruity of penalizing some and pardoning others and keeping in mind the BPP’s "paucity of funds,” recommended "half the amount or part thereof, be refunded to the beneficiaries of the trust and the balance amount be adjusted against future rents, service charges, licenses payable, etc.” He noted the refund would alleviate "the huge financial problems being faced by many community members” on account of the Covid pandemic and the lockdowns. Those who initially pleaded financial hardship were exempted from the levy.
Writing in the Parsi Junction of May 30, BPP trustee Viraf Mehta who, along with BPP chairperson Armaity Tirandaz and BPP trustee Xerxes Dastur passed the waiver, stated, "The outstanding payment of Rs 750 for any resident has NOT been waived. It has only been deferred for the time being.” He added the amount "will be collected...in due course following due process...We are not going to commence mindless litigation...spending way more funds on litigation than collection of charges...The question of refund to the 2,700 residents who paid under duress... amounting to eight to10 crores rupees (USD 1,094,908 to 1,368,635) is out of the question due to the acute financial condition of the trust.” Mehta did not specify how the BPP was going to recover the outstanding dues without resorting to costly litigation.
The levy was waived only for the BPP managed baugs, not the five Wadia baugs that continue to pay the additional Rs 750 service charge.