Subhiksha Trading Services has been caught in yet another controversy with property owners planning to drag the retailer in court on the issue of non-payment of rents. The firm is already facing tough situation due to decline in demand under the impact of global slowdown and employee's wrath due to unpaid salaries and other legal issues related to provident fund.

Owners of stores served legal notice to the retail firm and threatened to shut down stores. They alleged that firm failed to abide by its promise to increase rent by 15 per cent each year as per terms and conditions of agreement. They also complained of mishandling of their property with electricity bills are still un-paid.

While talking to media, yet another owner said, "I got an eviction order against Subhiksha from a lower court. The company has filed an appeal against it in the municipal court. The case has been pending hearing since then."

Meanwhile, cases have been filed at Butt Road, Nanganallur and Pallavaram under the jurisdiction of Alandurn in Chennai. A number of cases are already pending in Tamilnadu due to strike by lawyer's association.

Subhiksha managing director, R Subramanian said, "We are giving up properties in markets where we believe that current rents could be lower than the contracted rents so that we can re-sign properties at lower rates post CDR."