Pune: PMC Seals 203 Commercial Properties for Auction in Drive to Boost Revenue Collection

Pune, 21st November 2023: In a bid to bolster property tax collections, the Pune Municipal Corporation (PMC) has taken stringent measures, sealing 2034 properties with revenue dues amounting to Rs 127 crore. Among these, 203 commercial properties are slated for auction, marking a significant step towards meeting the municipality’s revenue targets.

The auction process, initiated by the PMC, has encountered legal hurdles as some beneficiaries have taken legal recourse, either appealing a claim adjudicated in their favor or contesting it in a higher court. The legal department is actively addressing these challenges, ensuring that due process is followed before taking possession of the properties. In cases where there is no court stay order, properties are being sealed.

To navigate these legal complexities, the Municipal Corporation has enlisted the assistance of five lawyers to find solutions and facilitate a smoother auction process.

The Property Tax Department is relentlessly pursuing the recovery of outstanding property tax arrears. Last year, residential properties faced sealing and auction, and this year, the focus has shifted to commercial properties. Approximately 2034 properties owe a cumulative Rs 127 crores. Out of these, the process to auction 203 properties have already started, with the legal team working diligently to address any legal impediments.

For properties to be auctioned, a burden needs to be imposed on them, necessitating the recording of the defaulter’s name on the city survey number of the respective property card. The PMC is actively resolving this technical challenge. In the initial phases, 189 properties with arrears of Rs 84 crore were sealed, followed by the sealing of 79 properties with arrears of Rs 10 crore.

Ajit Deshmukh, Head of the Tax Collection Department at the PMC, emphasized that tax recovery efforts would persist. As of now, the PMC has successfully collected Rs 1,580 crores in property tax. The corporation aims to continue the momentum, with outstanding amounts expected to be recovered through the auction of assets by the end of December.

Deshmukh affirmed that legal actions would not halt the tax recovery process unless there is a court-issued stay order.