Berhampur: The Orissa High Court has ordered the Berhampur Municipal Corporation (BeMC) not to collect hiked holding tax from the denizens.
The high court has issued the interim order after hearing a petition filed by Congress leader Pitabas Panda against holding tax hike in the city. The high court while issuing the order has asked the civic body to collect holding tax from the denizens as per previous rate.
Notably, the civic body without conducting a public hearing as per rule hurriedly made a cent per cent hike in holding tax in 2020-21. Protesting the order, Panda first staged an agitation but later filed a petition in the high court after the civic body did not take any steps in this regard.
In his petition, Panda stated that it is illegal for the civic body to increase the holding tax without the consent of the municipal council and its collection from the house owners is totally illegal.
He prayed before the high court to direct the civic body to stop collecting the hiked holding tax from the denizens. Panda also opposed the collection of user fees from various parks in the city.
The high court in its ruling has issued notices to the state government and the BeMC to explain and cite the reason why user fees are being collected in the city.
After receiving a copy of the order Wednesday, Panda said that the term of the elected municipal council has expired two and a half years ago and the management of the civic body is vested with the state government.
He said the financial status of people in the city has gone down due to the pandemic. He alleged that the civic body has hiked the holding tax when the people are in trouble due to Covid-induced lockdowns and shutdowns.
Panda welcomed the high court decision saying it was a victory of the Silk City residents. Advocate Siddharth Das pleaded the matter on behalf of the petitioner.
PNN