The Union Finance Ministry has advised the Income Tax department to revoke the attachment orders earlier issued against the bank accounts of Hyderabad Metropolitan Development Authority.
The State Government has constituted a high level committee to resolve the issue as part of its efforts to bail out HMDA.
The IT department had earlier issued a notice to HMDA, seeking payment of Rs 383 crore as income tax for the year 2007-08 towards the sale proceeds of lands and plots on behalf of the State Government.