The Brihanmumbai Municipal Corporation (BMC) has launched e-auction proceedings against six properties across Mumbai after their owners failed to clear property tax arrears exceeding Rs 455 crore. The action marks one of the civic body’s most significant recovery drives in recent years and signals a firmer enforcement approach as it seeks to bolster revenues amid rising infrastructure and climate resilience spending.
According to officials, the identified properties are located in Goregaon West, Bandra West, Dahisar, Parel, Mazgaon and Malad-Kurar village. Additionally, two defaulters in the Fort area of south Mumbai have been served extended 21-day final notices, cautioning that non-payment will result in similar auction action. The outstanding dues include accumulated penalties and interest.
Under the Mumbai Municipal Corporation Act, the BMC’s Assessment and Collection Department has already undertaken attachment and distraint proceedings on eight properties, comprising open plots, residential and commercial premises, industrial units and a hotel. As per statutory norms, movable assets at the sites will be attached and auctioned first. If recoveries fall short, immovable properties will be auctioned in line with legal safeguards and directions previously issued by the Bombay High Court in a writ petition concerning property tax enforcement.
Urban finance experts note that the crackdown reflects mounting fiscal pressures on cities, where property tax remains a critical and stable revenue source. In Mumbai, ongoing investments in flood mitigation, drainage upgrades, water supply and waste systems depend heavily on timely collections. The adoption of e-auctions aligns with broader digital reforms aimed at improving transparency and expanding bidder participation.
With final notices issued and auctions underway, the initiative will test both the corporation’s recovery strategy and the market’s response to distressed asset listings in the country’s financial capital.
Source: Urban Acres
