Proposal for a pilot partnership with FOSTTA and SGCCI

1.1This single page does two jobs: (a) it is a proposal to the Federation of Surat Textile Traders Association (FOSTTA) and to The Southern Gujarat Chamber of Commerce and Industry (SGCCI); and (b) it is the note for a meeting with each body, with an agenda, points for decision and a record sheet for the minutes.

1.2We request two separate meetings. FOSTTA and SGCCI are different organisations with different members and different dispute forums. The proposal to one body does not depend on the other, and neither body is asked to endorse, fund or exclusively support VyaparTrust.

1.3This page is public and stays at vyapartrust.com/gu/associations (Gujarati), /hi/associations (Hindi) and /en/associations (English), so both bodies can open it at any time. The “Print this document” button produces an A4 copy for a managing committee, including the record sheet in section 20.

1.4Information about FOSTTA and SGCCI is taken only from their own public statements and from published news reports. Each source is listed in “References and sources” with the date it was read. Corrections are welcome and will appear in the next version.

2.1VyaparTrust (“Pehle Bharosa. Phir Vyapar.” — Trust first. Then trade.) is a digital service for textile traders. It lets a seller check a buyer before dispatching goods on credit, record a payment dispute with documents while giving the other side a fair right of reply, and verify commission agents (dalals).

2.2Meeting FOSTTA and SGCCI is part of the pilot evidence. VyaparTrust would rather learn from the two bodies that already handle Surat’s trade disputes than build around them.

3.1Within one month of its launch, FOSTTA’s own complaint app, FOSTTA FORUM, received more than 3,000 complaints of payment delay and fraud, totalling about ₹170 crore. More than 70% of the defaulting firms were reported to be from other States, and 146 mandis were linked for cross-verification (KNN India, 22 May 2025).

3.2Credit of up to 180 days is common. At a FOSTTA forum in January 2026, traders discussed limiting credit to 70 days, limiting returns to 30 days, and naming distributors who default beyond 180 days after verifying the claims (Textile Excellence, 17 January 2026).

3.3FOSTTA has formed a 16-member arbitration panel, chaired by a retired judge, to resolve money and quality disputes through dialogue (Apparel Resources, 11 March 2025). SGCCI has run the Kayami Samadhan Panch (Permanent Settlement Commission) since 1987. SGCCI’s website lists 5,847 matters (read on 15 September 2026).

3.4Across India, delayed payments to micro and small enterprises were estimated at ₹7.34 lakh crore in March 2024 (FISME / C2FO study). The Ministry of MSME launched the MSME Online Dispute Resolution (ODR) portal on 27 June 2025 for delayed-payment cases under the MSMED Act, 2006.

1. Verified member. A trader signs in with a mobile OTP and gives consent separately for each purpose. The trader then provides identity (PAN, stored encrypted; only the last four characters are ever shown), firm details (GSTIN) and shop address. A person reviews every profile before it goes live.
2. Buyer check before dispatch. The seller enters the buyer’s GSTIN and sees findings from public records, each with its source and date (GST registration and return filing, court records), plus the buyer’s verification level and the status of any documented claims. The result is shown as Green, Amber or Red with reasons. A first Red result is reviewed by a person before it is shown. The checked party is never told who checked them, but may ask how many checks were run.
3. Trade terms. Seller, buyer and dalal can record the amount, due date, credit days and return rules at the time of sale. Signing with Aadhaar eSign stays switched off until the legal opinion.
4. Documented claim. A claim can be filed only with an invoice and proof of dispatch (the e-invoice QR code and the e-Way Bill are verified). The other party receives a notice and has 15 days to reply. A disputed claim is marked “disputed”, and a settled or withdrawn claim is closed. Only factual statuses are shown — never words such as “defaulter” or “fraud”.
5. Evidence pack. A dated PDF containing the parties, the invoice, the amounts, documents on file, notices, replies, the timeline and messages, together with a plain guide to the options available: direct talks, an association panel, MSME ODR / MSEFC, a legal notice, Section 138 of the Negotiable Instruments Act, and a civil suit. The party decides where to take it — FOSTTA’s arbitration panel, SGCCI’s Kayami Samadhan Panch, a mediator or their own advocate.
6. Dalal passport. A commission agent is verified, accepts a code of conduct, passes a short attestation test, and names the sellers they represent, each of whom confirms. The QR card always shows the passport’s current status, so an old screenshot cannot be passed off as valid.
7. Correction and grievance. Any party may ask for a record about them to be corrected. Every request is decided within 30 days, and the decision and its reasons are recorded.

• It is not a Government body, and it is not affiliated with, or endorsed by, FOSTTA or SGCCI. The names of both bodies appear here only to address this proposal to them.
• It is not a defaulter list. It never publishes lists, never labels a trader “defaulter” or “fraud”, and never calls for a boycott.
• It is not a debt collection agency. It never contacts anyone to recover money and never threatens.
• It never holds or collects money for any trader. Its own fees will be collected only through a payment gateway authorised by the Reserve Bank of India, and only after the legal opinion.
• It is not a lender and does not operate as a credit information company. It sells no credit score to third parties, and the legal review of this position is continuing.
• It does not replace FOSTTA FORUM, FOSTTA’s arbitration panel or SGCCI’s Kayami Samadhan Panch, and it asks neither body for its complaint or member data.
• It does not store Aadhaar numbers (at most the last four digits of an offline verification result) and collects no biometrics.
• It does not sell personal data and does not use it for advertising.

6.1Why FOSTTA. FOSTTA is the federation of the traders’ associations in Surat’s textile markets. It is reported to represent about 70,000 traders across 217 markets, and its constitution is reported to be registered under Section 8. It runs FOSTTA FORUM and a 16-member arbitration panel. Its members — sellers and dalals in the market buildings — are the traders VyaparTrust serves first.

6.2What we ask of FOSTTA:

1. A named contact person for the pilot.
2. One market building in which to start, with an introduction to that building’s association.
3. Permission to introduce the service to traders in that building, through a circular, a short meeting or shop-to-shop visits.
4. Feedback on the wording of claim statuses and notices before they are used in FOSTTA’s markets.
5. A conversation with the arbitration panel’s secretariat about receiving evidence packs.

6.3What we do not ask of FOSTTA: no fee; no data from FOSTTA FORUM; no endorsement; no exclusivity; no change to FOSTTA’s app or procedures; and no staff time beyond the named contact.

7.1Why SGCCI. The Southern Gujarat Chamber of Commerce and Industry was established in 1940. SGCCI describes itself as the oldest apex body of Gujarat, with more than 12,000 direct members and more than 150 member associations. Its Kayami Samadhan Panch (Permanent Settlement Commission) has resolved business disputes since 1987. SGCCI reaches the whole textile chain — weavers, processors, yarn dealers, job workers, mills, traders and exporters — across South Gujarat.

7.2What we ask of SGCCI:

1. A presentation slot before the relevant committee (textile, trade or legal affairs).
2. A contact at the Kayami Samadhan Panch for the referral conversation.
3. A date for a member awareness session, or a short note in a member circular.
4. Feedback on the proposal from the Chamber’s office-bearers.

7.3What we do not ask of SGCCI: no endorsement; no fee; no member data; no exclusivity; and no change to the Panch’s procedures.

10.1 Consent

Consent is taken separately for each purpose (identity checks, public records, contact) and recorded with the version of the notice shown. It can be withdrawn at any time, in line with the Digital Personal Data Protection Act, 2023.

10.2 Minimum data

PAN and bank account numbers are stored encrypted, and only the last four characters are ever shown. Aadhaar numbers are never stored. Only an 18+ adult may join.

10.3 Right of reply

Every documented claim gives the other party a notice and 15 days to reply. A disputed claim is marked “disputed”, and a settled claim no longer counts against the buyer.

10.4 Accuracy

Every finding shows its source and date. A first Red result is reviewed by a person. Correction requests are decided within 30 days.

10.5 Security

Encryption of identifiers, OTP sign-in, role-based access for staff and reviewers, request rate limits, and security headers on the website.

10.6 Audit trail

Every change to every record is logged with who made it, when, and the value before and after. The logs are hash-chained, so any alteration is detectable, and every staff view of personal data is also logged. Logs are kept for at least 180 days, as required by the CERT-In Directions of 28 April 2022.

10.7 Retention

Incomplete sign-ups are archived after 90 days; unclaimed party records with no check for 12 months are archived; device identifiers are deleted after 12 months; a bureau band is deleted after 6 months.

10.8 Grievance

Correction requests can be made in the app today. A Grievance Officer will be named and published before commercial launch, and in any case before 13 May 2027, when most obligations under the DPDP Rules, 2025 apply.

10.9 Legal review

Independent counsel is reviewing eight questions: charging fees before incorporation; the wording of claims and the defences available; records built from public data about traders who have not joined; public passport lookup; WhatsApp notices; eSigned trade terms; device fingerprinting; and CKYC. Each related feature stays switched off until the answer is received.

11.1The following laws and directions are relevant to this proposal. They are listed for information only, with a brief note of how the service addresses each. This is not legal advice.

12.1FOSTTA and SGCCI pay nothing. Traders pay the published final prices below. The price shown is the price payable, and nothing on the service is free. Until online payment collection is permitted by the legal opinion, the pilot works through written advance orders.

14.1Reports are aggregated only. No report contains any trader’s name, mobile number or personal data.

16.1The same agenda is proposed for each meeting. FOSTTA and SGCCI will be met separately.

17.1Questions for the association:

1. Which market building (FOSTTA), or which committee (SGCCI), would suit the pilot, and who should be the contact?
2. Does the association already have standard wording for payment disputes or notices?
3. Would the arbitration panel or the Kayami Samadhan Panch accept an evidence pack, and in what format?
4. What credit days and return periods do members actually use today?
5. Does the association have any concern about data protection or about how members may see the service?
6. Would the association like to receive the monthly aggregated pilot report?

17.2Decisions requested at the meeting: (a) whether a named contact will be designated; (b) the pilot location or committee; (c) the date of the next meeting or session.

1. Within 7 days of each meeting, VyaparTrust sends the minutes to the association contact for confirmation.
2. Version 1.1 of this document is published at the same address, recording any corrections.
3. The pilot starts in the agreed building, or the session is held on the agreed date.
4. If both sides wish, a short non-binding Letter of Intent is prepared along the heads below.

19.1Terms follow the wording used in the Acts named in section 11 and in common Government of India usage. The Gujarati and Hindi equivalents are given so that all three language versions of this document use the same terms.

Contact

VyaparTrust — Lokendra Singh, Founder. Phone: +91 94145 33265. Email: hello@vyapartrust.com. Website: vyapartrust.com.

Corrections to this document

Please tell the contact named above. Corrections will appear in the next version at the same address, with the date updated.

Accessibility

This page follows GIGW 3.0 practice (WCAG 2.1 Level AA): a skip link, a proper heading structure, table headers, keyboard access, adjustable text size, a print version, and Gujarati, Hindi and English versions. If any part is hard to use, please tell us.

External links

Links in “References and sources” open other websites. VyaparTrust is not responsible for their content or availability. Each was read on the date shown.

Use of this document

FOSTTA and SGCCI may copy and circulate this document within their organisations and to their members.

Disclaimer

VyaparTrust is a private initiative. It is not a Government body and carries no Government emblem or authority. It is not affiliated with, or endorsed by, FOSTTA or SGCCI. Information about both bodies comes from their public statements and published reports, and may have changed since. Legal references are for information only and are not legal advice. Features that depend on a pending legal opinion are switched off.