The Tax and Finance Standing Committee has decided to impose a fine of Rs 25 lakhs for government organisations and Rs 10 lakhs for individuals for not closing the road dug up to lay Optical Fibre Cable (OFC), reported Kannada Prabha.

Speaking at a press meet at BBMP on Monday committee president M K Gunashekhar said the rules regarding fee to be paid for laying OFC and fines to be imposed for violating rules were not clearly defined.  The officers were fining at their will.  Hence new rules and regulations have been formulated to impose fees and fines, he said.

The BBMP has formulated the rules to prevent fining at will by the officers and to avoid unofficial OFC being laid.  It has been decided to impose a fine of Rs 25 lakhs for government organisations and Rs 10 lakh for private individuals for violating rules.  Also, laying extra length than permission obtained will attract a fine of 3 times the fee per meter.  If the digging for ducts is not filled up within  96 hours Rs 10,000 per trench will be imposed. Also the company that has paid the fine will be blacklisted, he said.

The Tax and Finance Standing Committee has decided to take action as per the recommendations of the Council meeting to collect the Rs 61 crore pending from Turf Club. The Club has to pay Rs 2 crore annually property tax and Rs 15 lakhs as advertisement tax. The Club pays Rs 50 lakhs as self assessment of property tax and Rs 5 lakhs as advertisement tax. From 2008-09 to till now, including the pending balance a total sum of Rs 61 crores has to be recovered from the Club, said Gunashekhar.

Meanwhile, M K Gunashekhar also revealed that for the first time BBMP is moving towards reaching its goal in tax collection.  In the current fiscal year it has already collected Rs 1,756 crores in 7 months.

Speaking to press persons at the BBMP office on Monday Gunashekhar said all these years BBMP used to lag behind the target in tax collection and for the first time this year it will reach its target.  In the current year the tax target was Rs 2600 crores and already Rs 1756 crores are collected. Rest Rs 844 crore is to be collected in next 5 months.

The total number of property under the BBMP limits is 19 lakhs. From theses Rs 14,75,407 lakhs have been collected. Of the Rs 1,756 crores collected, Rs 461 crores have been paid online, he said.

In the first stage of the Total Station Survey hundreds of crores of tax evasion has been identified from 12 buildings. Tax in double will be collected from them and Demand Notices have already been sent said Gunashekhar.