A trend of paying rickshaw tip / commission originated from tourist stations and gradually the system was adopted by hotels in business cities to attract new customers. Likewise Nagpur adopted this pattern in 1980s, when commission of Rs.10 and Rs.5 was paid on double & single room respectively. However gradually number of rooms overtook requirements, this caused competition and resulted unprecedented hike in Rickshaw Tip by many new hoteliers, which now reached alarming figures of Rs. 800 – 900.
Similarly another worrisome situation arose as many hotels in the name of guest house, service apartments or similar have mushroomed in residential areas of the city in past 4-5 years and started giving facilities at par with any good hotel and majority of them are doing business without obtaining police licenses, NMC licence, likewise evading luxury tax, service tax, entertainment tax and other similar indirect taxes, thus saving almost 25% cost as compared to licensed hotels causing major business damage and in return also causing major damage to the govt exchequer.
Taking these issues on priority, Nagpur Residential Hotels Association (NRHA) held special general body meeting at Hotel Darshan Towers chaired by its president Prakash Trivedi. Dais was also shared by Govind K. Mudliar – vice president, Santosh Gupta – treasurer, Deepak Pandey & Vinod Joshi – joint secretaries.
Tejinder Singh Renu, secretary of NRHA informed that in this meeting it was unanimously resolved that from now onwards maximum limit of rickshaw tip will be Rs.100/- per room. Which means any member who wishes to pay less than Rs.100/- or doesn’t pay at all, is free to do so.
Renu said, NRHA further resolved that to regulate these two serious issues threatening hotel business, a five members committee has been constituted, to be headed by Kishore Rai (Hotel Rahul Group). Other members of this Committee are Deepak Khurana (Hotel Woodlands), Tarun Motwani (Hotel Dwarka), Swapnil Warambhe (Hotel Sukhkarta) and Gautam Gundecha (Hotel Rangoli). 
Also present in the meeting were Rajan Mulani, Mahesh Trivedi, C K Chaurasia, Vijay Sawarkar, Nitin Trivedi, Subhash Jaiswal, Rishi Tuli, Murtuza Fidvi, Sudhir Jaiswal, Rajesh Dharmik, Anil Walokar, Suddu Vaidya, Girish Motwani, Dhiru Mehta, Gaurishankar Mishra, Rajendra Huda, Pralhad Ramrakhiyani and others.
