Bombay HC Slams BMC Over 1,526-Day Delay In Revenue Appeal; Says Richest Civic Body Must Act ‘At Lightning Speed’

Bombay HC Slams BMC Over 1,526-Day Delay In Revenue Appeal; Says Richest Civic Body Must Act ‘At Lightning Speed’

The court criticised the Brihanmumbai Municipal Corporation (BMC), the country’s richest civic body, for an “unacceptable and inexplicable” delay of 1,526 days in filing an appeal in a crucial revenue matter, while dismissing the same.

Urvi MahajaniUpdated: Thursday, December 11, 2025, 12:22 AM IST
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Bombay High Court slams BMC for years-long delay in revenue appeal, dismisses plea due to lax file movement and internal lapses | File Photo

Mumbai, Dec 10: The municipal body entrusted with Mumbai’s vast finances “should take decisions at lightning speed in revenue matters, not at the pace at which bureaucracy pushes files”, observed the Bombay High Court on Wednesday.

The court criticised the Brihanmumbai Municipal Corporation (BMC), the country’s richest civic body, for an “unacceptable and inexplicable” delay of 1,526 days in filing an appeal in a crucial revenue matter, while dismissing the same.

Case relates to rateable value of Ashirwad Shelters Pvt Ltd property

Justice Jitendra Jain was hearing a plea relating to the determination of the rateable value of a property owned by Ashirwad Shelters Pvt Ltd, which directly determines the property tax payable to the BMC.

The Small Causes Court, on May 2, 2016, restored the rateable value to Rs 7.40 lakh, overturning the BMC’s original assessment of Rs 1.42 crore, later revised to about Rs 30 lakh.

Appeal was required within 30 days, meetings held much later

Under Section 218D of the MMC Act, the BMC was required to file its appeal within 30 days. Instead, its Appeal Committee convened only after the limitation had expired — meeting on August 11, 2016, December 2, 2016, April 15, 2017, and finally on June 17, 2017, when it decided to challenge the order.

Court questions bureaucratic delay

“If the section provides for a period of 30 days to file an appeal, I fail to understand how the meeting of the committee … should take place after the expiry of 30 days,” Justice Jain remarked. He added: “In revenue matters, the decision has to be taken fast and at a lightning speed and not at the speed with which the bureaucracy works and moves the file from one table to another.”

17-month delay followed by further late filing

After a delay of another 17 months, the decision was communicated to the BMC’s legal department on November 15, 2018. Despite this, the appeal was filed only on October 9, 2020.

BMC cites staff shortage & Covid, court rejects reasons

The BMC cited staff shortages, heavy workload, internal coordination issues and Covid-19 disruptions. The court rejected these explanations outright, noting that the limitation period expired in 2016 — “when nobody had dreamt of Covid coming in the year 2020”.

HC calls delay “excuses”, urges BMC to strengthen system

Calling the reasons “only excuses”, Justice Jain said a corporation that manages Mumbai’s enormous revenue base cannot rely on such arguments.

“A Corporation like the Mumbai Municipal Corporation… should equip itself with adequate manpower so that the legitimate revenue due to the Corporation is not deprived,” he said, urging senior officials to address the systemic lapses.

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Appeal dismissed due to delay

The court said it has “no option” but to “reluctantly” dismiss the application seeking condonation of delay, “though it will deprive the Corporation of its revenue, if on merits they were right”.

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