Following the Bombay High Court's observation that the Octroi department of the city's civic body was "corrupt", Brihanmumbai Municipal Corporation (BMC) commissioner Subodh Kumar on Monday told the court that various steps have been taken to ensure there are no irregularities at Octroi check posts.

Kumar, in his affidavit, has said that as part of measures to prevent pilferage at check points, a vigilance cell has been formed to look into complaints of corruption and verify about correct payment of octroi duty by companies.

The affidavit was filed in a petition by HCL Infosystems Pvt Ltd, challenging a notice issued to them by the civic body demanding octroi. According to HCL, they had already paid a sum of Rs five crore.

The court was on the last hearing informed by the corporation that the money was fraudulently paid by the company to corrupt officers posted at suburban Mulund check post which has not been deposited in the treasury of the civic body.

The bench had then directed Kumar to look into the matter and file an affidavit.

According to the affidavit, departmental action has been initiated in 36 cases and a new software system has also been put in place which would enable the corporation to plug loopholes in case of octroi evasion.

"12 CCTVs have been installed at five check points and installation of cameras at the remaining check posts would be completed by March next year. The corporation is also looking into the possibility of E-payment which would eliminate middlemen," Kumar said in the affidavit.

BMC counsel Anil Sakhare said octroi is a major revenue source for the city and such measures will eliminate the irregularities.