The Inner Line Regulation Commission (ILRC) of the Naga Students' Federation (NSF) has issued a stern directive demanding the immediate cessation of all benami business practices, including all forms of 'rent-a-local' arrangements, within Naga areas. The commission warned that any entity found violating this directive would face public exposure as part of efforts to defend Naga rights and uphold a lawful economic order.
Concerns Over Benami Practices
In a statement, the ILRC expressed serious concern over the continued proliferation of benami business practices, commonly understood as local fronting, proxy ownership, or nominee arrangements, within Naga areas. Through these practices, non-local individuals operate commercial establishments under the names of local Naga citizens to circumvent established regulations, directly violating legal and customary safeguards that protect Naga land, trade, and economic rights.
The ILRC reiterated that such activities undermine not only statutory frameworks, including inner line regulations and trade licensing norms, but also the collective socio-economic security of the Naga people. The commission noted that the NSF has consistently objected to and campaigned against the menace of benami businesses since the 1990s.
History of Opposition
Despite repeated warnings, representations, and public awareness efforts spanning decades, the persistence—and in some areas, expansion—of such illegitimate arrangements reflects a blatant disregard for both law and community sentiment, the ILRC said. 'This continued defiance necessitates a firmer and more direct course of action,' the statement added.
The ILRC urged all non-Naga people engaged in any form of benami business to cease operations immediately. It warned that attempts to exploit legal loopholes or misuse the names and identities of Naga citizens for commercial gain would not be tolerated. The commission also cautioned local Naga people who knowingly enable such arrangements.
Enforcement Measures
As part of its intensified enforcement approach, the ILRC said it will, through its organisational mechanisms and in coordination with relevant authorities, conduct surprise inspections and spot checks across various commercial sectors to identify and expose benami operations. 'These measures are intended not merely as symbolic actions, but as concrete steps toward dismantling entrenched systems of illegal proxy business activity,' it stated.
The commission's directive marks a significant escalation in the NSF's long-standing campaign against benami businesses, aiming to restore legal and customary protections for the Naga people.
