The assessment sub- committee of the house tax department of the MC has issued a notice to MK Hotel, a posh establishment in the city for not appearing before the committee, in spite of being summoned several times.
The MC also decided to take an ex-parte decision against St Francis School, a renowned educational institution, on the charges of evasion of house tax.
The committee has summoned the authorities of MK Hotel again on Tuesday.
In case of failure to clear dues, the MC would initiate the process of sealing the properties of these defaulters.
Surinder Singh, a member of the committee, said that 10 parties were summoned for the hearing of their house tax cases, but only eight appeared before the committee.
He added that the MK Hotel authorities owed the MC Rs 2 crore as house tax.
"Payment from the hotel has been has been pending for four years. They were summoned many times by the committee, but did not appear. The Red Notice is usually issued when a party fails to appear before the committee, even after repeated summons. This is the first time that the Amritsar municipal corporation has issued such a notice," he said.
On the St Francis School, he said that the institution owed the MC Rs 60 lakh.
"School authorities have been summoned many times and had been asked to produce documents supporting their claims about house tax payments, but they failed to do so. Hence, an ex-parte decision was taken in their case," he said.
"They should clear their dues for their own benefit or we will start the process to seal their properties."