In a bid to recover arrears to tune of around Rs 40 lakh from a petroleum company, chief officer of Mapusa municipality Clen Madeira has issued a showcause notice to the company that has two petrol pumps in the municipal jurisdiction.
A period of 15 days has been given to the company to reply why action should not be taken as regards possession of land.
The Mapusa Municipal Council has leased out its two pieces of land to the petroleum company that has set up petrol pumps in the town. As per the lease agreement, the petroleum company is supposed to pay a fixed lease amount to the council but over the period the company has failed to make the payment as a result the arrears have gone up to around Rs 40 lakh.
In this regard, the municipal council had written to the territory manager of the petroleum company in June 2016 asking them to clear the arrears in order to renew the lease agreement. Later again a reminder was sent to the petroleum company, dated February 14, 2017, that the council is losing revenue on the lease of municipal land, one opposite the taxi stand and the other in the heart of market area.
Then the company approached the council on March 26 for renewal of lease agreement for a period of ten years but the council refused, asking the company to clear the pending dues.
Chief officer Madeira said that “a show cause notice has been issued to one of the petroleum companies asking it to clear all their dues pertaining to municipal land which is leased out to them.”