GHMC Cracks Down on Major Tax Defaulters, Seals Katriya Hotel and Five Other Properties
In a significant enforcement action, the Greater Hyderabad Municipal Corporation (GHMC) on Monday sealed the prominent Katriya Hotel and Towers located in Somajiguda. This decisive move was taken due to outstanding property tax dues amounting to a staggering Rs 6.16 crore.
Persistent Default Leads to Sealing
According to GHMC officials, the establishment has reportedly defaulted on its property tax payments consistently since 2017. Special warrant teams, specifically constituted for enforcement purposes, were dispatched to the premises to carry out the sealing operation. The property will remain sealed until the full outstanding amount is cleared by the owners.
Officials revealed that the hotel is required to pay approximately Rs 75 lakh annually in property tax. "Even with the ongoing 90% waiver on interest, the accumulated dues have reached Rs 6.16 crore. Without this rebate, the total liabilities would exceed Rs 7 crore," a GHMC official stated, highlighting the severity of the default.
Broader Enforcement Drive Targets Multiple Defaulters
This action is not isolated. As part of a broader crackdown on property tax defaulters, GHMC also sealed five other properties across the city for non-payment of taxes. The list includes:
- Aurora College in Nampally, with dues of Rs 1.28 crore
- Swarna Transport in Goshamahal, owing Rs 36 lakh
- Shameem Sultana Cloth Mall, with outstanding dues of Rs 35.27 lakh
- Sony Centre in Goshamahal, defaulting on Rs 39.6 lakh
- Synfosys Business Solutions in Nagarjuna Circle, with dues of Rs 17.9 lakh
GHMC Commissioner R V Karnan described the move as part of a stringent enforcement drive that will continue against top defaulters. "We issued multiple notices, but there was no response from the parties concerned, making such action unavoidable. This drive will continue over the next week," he emphasized.
Systematic Approach to Revenue Recovery
At the circle level, dedicated warrant officers have been deployed to oversee enforcement proceedings. These actions are being carried out under the provisions of the Revenue Recovery Act, following the issuance of distress warrants to the defaulters.
Deputy commissioners across all 30 circles within GHMC's jurisdiction have been instructed to initiate strict measures against those failing to clear their dues. This systematic approach aims to ensure compliance and boost municipal revenue collection.
Widespread Non-Compliance in Hyderabad
Over the past three weeks, civic bodies including GHMC, Cyberabad Municipal Corporation (CMC), and Malkajgiri Municipal Corporation (MMC) have collectively served nearly two lakh demand notices to property owners with outstanding payments.
The scale of non-compliance is substantial. Out of approximately 28.8 lakh property tax assessments in the city, nearly half have not cleared their dues for the current financial year. Against a total demand of Rs 6,387 crore for the financial year 2025–26, which includes arrears, GHMC along with CMC and MMC has so far collected only around Rs 2,200 crore.
Final Warning to Defaulters
Commissioner Karnan has issued a final appeal to citizens, urging them to clear pending dues promptly and take advantage of the ongoing 90% rebate on interest. He warned that continued non-compliance will invite strict legal action under the provisions of the GHMC Act, potentially leading to more sealing operations and legal penalties.
This enforcement drive underscores GHMC's commitment to improving tax compliance and ensuring that all property owners contribute their fair share to municipal services and infrastructure development in Hyderabad.
