SHC restrains KMC from taking action against SSGC

Author: Staff Report

KARACHI: The Sindh High Court restrained the Karachi Metropolitan Corporation on Wednesday from taking any coercive action against the Sui Southern Gas Company (SSGC) over the latter’s failure to make payment of Municipal Utility Charges and Tax (MUCT) of over Rs151million.

A division bench of SHC also issued notice to the KMC’s municipal utility charges and tax department to submit its response to the petition until November 15.

The SSGC had gone to the court assailing the KMC’s recovery notice. The petitioner’s counsel submitted that the KMC had issued notice to the utility on October 14 this year, asking it to make payment of MUCT of Rs151,574,305 outstanding from January, 2009 to date within seven days.

He argued that the KMC has no authority to charge such a huge amount in the name of MUCT. He, therefore, pleaded the court to declare the recovery notice issued by the KMC as illegal and restrain it from taking action against the utility.

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