South Corporation freezes bank account of tax defaulters

Cracking down on property tax defaulters, the South Delhi Municipal Corporation has freezed the bank accounts of over a hundred owners of commercial and residential properties under its jurisdiction.

Out of the 114 property owners whose accounts have been frozen, a commercial complex of real estate major Omaxe Limited located in Jasola is one of the major names.

The company has also been booked for non-payment Rs 95 lakh in dues. “As of now we have frozen the bank accounts of the tax defaulters to recover the tax. In case, the amount is not recovered from their bank accounts, the properties will be attached and auctioned thereafter,” said B N Singh, assessor and collector of the South Delhi Municipal Corporation.

According to the corporation officials, the total due of all attached properties is likely to be around Rs 10 crores.

The maximum prosecution has been made in the Central

Zone where 60 properties have faced action, followed by the South and Nazafgarh Zones where the accounts of 29 and 25 properties have been freezed respectively.

According to officials, Omaxe Square of the developer Omaxe Limited had the maximum dues of Rs 95 lakh. Its State Bank of India account in Nehru Place commercial branch has been attached for recovery of dues.

Deterrent for defaulters

Spread in 1.6 lakh square feet, the five level structure houses the offices of MNCs, top brands besides shopping centres and food courts. “The action will be a deterrent to the tax evaders. Our drive against the defaulters will continue and we are identifying more properties for recovery of tax,” Singh added.

The action has been initiated under section 114 of the DMC Act which prescribes for attachment of properties for recovery of tax in case of persistent non-payment.

Recently, Chairman of the Standing Committee in South Delhi Municipal Corporation Rajesh Gehlot had said that action will be taken against all properties on whom property tax is due of up to Rs 5 lakh or more.

According to the municipal officials, there are total of 250 properties of defaulters in all three municipal corporations and a majority of them fall under the jurisdiction of South Delhi Corporation where rate of property tax is higher than that in other areas.

Earlier, the erstwhile MCD had also identified 12 properties for auctioning but the plan could not be executed with the trifurcation of the civic body and the municipal elections.