MUMBAI – In one of its most significant recovery operations in recent history, the Brihanmumbai Municipal Corporation (BMC) has officially initiated the e-auction process for six high-value properties across the city. The move comes after the owners failed to clear property tax arrears totaling ₹455.48 crore, despite numerous warnings and legal notices.
A crackdown on chronic defaulters
The action, spearheaded by the BMC’s Assessment and Collection Department on February 12, 2026, is part of an aggressive drive to recover outstanding dues before the end of the current financial year. Civic officials confirmed that the decision was made after “deliberate evasion” by several large entities.
The civic body has set a rigorous property tax collection target of ₹6,200 crore for 2025-26. As of early February, it had successfully collected approximately ₹5,426 crore, leaving a gap that officials are now filling through these enforcement measures.
Prime real estate under the hammer
The properties slated for the e-auction represent a diverse mix of Mumbai’s real estate landscape, including luxury hospitality, commercial hubs, and industrial land. The list includes:
- Goregaon West: A prominent hotel owned by Aamir Park & Amusement Pvt Ltd, carrying a reserve price of ₹268.16 crore.
- Bandra West: Commercial shops and offices belonging to Bhikabhai and Upadhyay and M J Bhatt, valued at ₹51.42 crore.
- Dahisar: A residential plot owned by Vikalal Investment Company with a reserve price of ₹34.81 crore.
- Parel: An open plot held by trustees Laxman and Gopal Shetye, valued at ₹34.14 crore.
- Mazgaon: The Jayant Oil Mill complex, including its warehouse and office, valued at ₹23.20 crore.
- Malad (Kurar): A commercial shed owned by Bacchubhai Daschov & Co, with a reserve price of ₹9.23 crore.
Final warnings and legal standing
Beyond the auctions already in motion, the BMC has issued a 21-day final notice to two additional properties in the Fort area. These premises, which include a residential-cum-hospital facility, owe a combined total of over ₹34 crore. Failure to clear these debts within the three-week window will lead to their immediate inclusion in the auction list.
The BMC is exercising powers under Sections 203 to 206 of the Mumbai Municipal Corporation Act, 1888. This legal framework allows the city to first seize movable assets on a property. If the debt remains unpaid, an interim order from the Bombay High Court empowers the corporation to auction the land and buildings themselves.
Market implications
Industry experts view this as a clear signal that the city is no longer tolerating high-value tax defaults. For potential investors, the e-auction presents a rare opportunity to acquire prime Mumbai land through a transparent, court-sanctioned process. For the public, it represents a step toward fiscal accountability in city management.
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Disclaimer – This news report is for informational purposes only. Auction details, reserve prices, and property status are subject to change. Readers should consult official BMC notifications before participating in any bidding process.
Source – Hindustan Times
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