Council moves to recover in excess $4B from defaulting property owners

Aug 25, 2017 News

As part of efforts to recover outstanding rates and taxes owed to City Hall, the administration of the Georgetown Mayor and City Council (M&CC) has announced a move to seize moveable assets of defaulting property owners across the city.
In a detailed statement, earlier this week, the Council said that the move is among a series of actions planned to recover outstanding monies owed to the Municipality. The M&CC has noted the difficulty in carrying out its duties and responsibilities in an effective and efficient manner as a result of this substantial amount owed to it by defaulters.
At the moment, the Council calculates that it is owed is in excess of $ 4B by property owners including those from large corporations. Simultaneously, the council said that it has struggling to settle debts its contracted workers including Solid Waste Contractors.
But because of the cumbersome nature of the judicial process to carry out parate execution under Section 222 of the Act, the Council has announced that it will now move against moveable property of defaulters, as a first step, to recover large sums owed to it by property owners.
Quoting the law, the Council stressed that Section 219 of the Act dictates, “Where a period of three months has elapsed after Section 217 has occurred, the Clerk of the Council, shall as soon as practicable institute proceeding for the recovery of the rates .”
“Again at Section 221 (1) Where movable property is liable to distraint for rates, the clerk of the council shall serve on the persons liable for the payment thereof a notice which shall set out the amount of rates remaining unpaid and shall state that if such an amount is not paid within 14 days, proceeding by way of distraints will be commenced.
If the payment is not made within 14 days after the notice is served under subsection (1), the Clerk of the Council, according to the information provided by the Georgetown M&CC, shall make an application to a Magistrate for a warrant of distress under and by virtue of which movable property of defaulters may be levied on and sold for the rates together with costs.”
The Council has since instructed its Attorneys to prepare all necessary notices and file appropriate documents in Court as it continues to go forward with this legal provision in the Municipal and District Council Act, Chapter 28:01.
It was noted too that the current general rates charged against properties in the city are unrealistic and cannot sustain vital municipal services to local communities and forward the Council’s efforts to modernize Georgetown.
The Council urged all property owners to “ensure that they settle their accounts at City Hall and make their contribution to the progress of the nation’s capital”.

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