Gold and silver worth crores locked inside: Here's why MCD shut down dozens of jewelery shops in Delhi's Chandni Chowk

The Municipal Corporation of Delhi (MCD) closed down at least 56 jewelery shops in Chandni Chowk on September 10, PTI reported citing traders. The shops are located in Kucha Mahajani, Delhi’s bullion market. Traders said gold and silver jewelery worth crores remained locked inside the sealed shops.

The action reportedly followed stricter checks against unsafe and illegal buildings across Delhi. These checks increased after seven people died in the collapse of the Satya Niketan building.

Yogesh Singhal said officials sealed the shops around 11:30 a.m. after the notice was issued. Singhal heads the All India Bullion and Jewelers Association.

“The question for consideration is whether after the Satya Niketan tragedy, only traders will have to bear the brunt of this tragedy or whether action will be taken against any government department and politicians as well,” PTI quoted the association as saying.

The traders alleged that the MCD and police officials arrived without informing them in advance. They alleged that officials pasted notices and sealed shops in several buildings at the same time. Some traders said they only understood the situation after arriving at their shops.

The association also claimed that the notification contained earlier dates. One announcement shared was dated May 12. She asked the owners to stop the unauthorized commercial use of the cellars within 48 hours.

“The basement of the subject property, thereby ordering that the misuse of the basement be stopped and the premises brought to permitted use under the Zoning Plan-2021 within 48 hours, why the above will not be sealed for commercial activity,” the official notice reads.

The association questioned whether government departments and politicians would also face lawsuits. She expressed concern about the valuables trapped inside and the impact on traders. MCD has not responded to the allegations.

Collapse of the Satya Niketan building

A five-storey building for paying guests collapsed in Delhi’s Satya Niketan. The collapse happened on September 6, killing seven people and injuring 12. Five of those killed were students of Delhi University. The building was mainly occupied by students from outside Delhi.

Initial findings linked the collapse to dangerous changes in the 50-year-old building. The operators allegedly filled their basement with three trucks of heavy construction waste.

The main retaining wall was also removed to make room for the shop. The building had five floors, although only two were permitted.

The police arrested the owner, his son, the operator and the contractor. The MCD has suspended five municipality officials for alleged negligence.

The Supreme Court asked the Delhi High Court to continue hearing the case. It also sought reports on building violations from authorities in state capitals and Union territories.