Janata dal (Secular) leader says BBMP was paying water and power bills of the complexes without fail just to please the owners.
The Bruhat Bangalore Mahanagara Palike (BBMP) leaves no stone unturned when it comes to taxing citizens under various categories. However, when it comes to collection of rent from big private players, it turns a blind eye.
In another case of grave negligence, BBMP officials have failed to collect rents amounting to Rs57 crore from commercial complexes across the city. The list includes Garuda Mall in Ashok Nagar, Shankar Nag Theatre and occupants in Public Utility building. Adding to the shocker, the amount to be collected is pending for the past four years.
Janata Dal (Secular) leader in the BBMP council, Padmanabha Reddy disclosed these facts on Friday. He said due to the negligence and disinterest of officials, Rs57.49 crore is yet to reach the Palike treasury.
“While the Palike levies a penalty of 2% per month from property owners if they fail to pay property tax, it is not bothered to collect tax from commercial complexes which are making huge profits. If the officials collected the tax in time, the financial condition of the Palike would have been better,” Reddy said.
“Crores of rupees could have been used for development works or for clearing the loan taken by the Palike from various banks if the officials had collected it in time. The officials have joined hands with commercial complex owners and are cheating the Palike,” he said.
Apart from that, the Palike should revise the rent rates for commercial complexes at regular intervals.
Reddy also challenged the BJP that he will resign his post if mayor SK Nataraj or any other leader proves that any of the development projects have been initiated by them from the time they assumed office.
“The mayor has not been able to take up any development work in the city. I request him to release a white paper in this regard for the past six months and the financial condition of the Palike, which is indeed in a bad shape. He has not been able to take any action against officials who are helping the builders or tax evaders. This is causing a huge loss to the Palike exchequer,” Reddy said.
He asked the mayor to probe the irregularities and take action against erring officials.
Reddy claimed that even though commercial complexes were not paying the rent, the Palike was paying the water and power bills of the complexes without fail, just to please the owners. From January to June 2010, the Palike has paid Rs1.26 crore as electricity charge to Bescom for the Rajajinagar shopping complex, KR Market subway, SKR market, mutton market and Yeshwantpur RTO complex.
The Palike also paid `18 lakh to the BWSSB for Jayanagar shopping complex from 1 April 2009 to 30 June 2010.
BBMP commissioner Siddaiah said efforts were being made to collect rents from the shop owners of all commercial complexes.
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