: In some relief for
Nagpur Municipal Corporation
), e-auction of
Bank of India
received no response. Now, the civic body is planning to ensure its dues of Rs 47.03 crore are added in reserve price.
Citing dues of Rs 169.53 crore on mall’s developer KSL and Industries Ltd, the Bank of India’s Asset Recovery Management Branch, Mumbai, had launched e-auction of Empress Mall under Securitisation and Reconstruction of Financial Assets Act on January 23.
The bank had kept reserve price at Rs 208.42 crore. Date of auction was February 28.
An official from the bank told TOI e-auction will be conducted again. NMC has to recover property tax, water bill, penalty for unauthorized constructions and other dues amounting to Rs 47.03 crore from the mall.
When it learnt about the e-auction, the civic body wrote to the bank asking to include its dues in reserve price as well.
NMC official said bank did not include NMC dues in the price. “We sent the letter through Speedpost. We talked to the officials of bank who said they did not receive the letter. We sent letter to officials again. Now, we will be in touch with the bank and ensure our dues are included in next e-auction,” he said.
It would have been difficult for the NMC to recover its dues had e-auction been successful. “It would have been mandatory for firm purchasing the mall in e-auction to pay our dues. But it would be a lengthy process. Asking the bank to include NMC dues in offset price is simple and proper procedure,” NMC official said.
NMC official added coercive action against KSL and mall is not possible for recovery of dues due to stay given by Nagpur bench of Bombay High Court.