GHMC Took Action On Bouncing Cheques

Many cheques are bouncing due to payment of property tax,, so to solve this issues Greater Hyderabad Municipal Corporation (GHMC) made a couple of changes in the system whereby the defaulter status of the customer will be cleared only after the cheque is realised, a press release from GHMC informed.It has come to the corporation’s notice that many cheques with huge amounts are getting bounced especially in the financial year end due to insufficient funds.

In the existing system, the property tax shows ‘Cleared’ status in the database, as soon as the instrument is received by GHMC and a receipt gets generated for the same even before the cheque is presented in the bank. Later on if the cheque bounces, then the transaction is reverted back. This system is being misused by some property owners to clear off the dues at that instant by depositing a cheque, the note said.

In the newly introduced system, the scrutiny will continue till the cheque is cleared. This will be done by integrating with internal Finance wing (ERP) to update the status of cleared cheques.

After realization of cheque in bank, the internal Finance wing shall send the status to GHMC Online property tax database maintained by CGG, to update it as Cleared.

Till then, the status of payment remains as ‘Cheque Subjected to Realisation’ and remain in a ‘Provisional’ status, the note said.