Himachal Pradesh High Court Rules HPTDC Hotels Will Remain Open, Next Hearing Set for January 2
Shimla (Himachal Pradesh), 25 November, Monday
Kumud Sharma, Diary Times: The Himachal Pradesh High Court has granted a significant reprieve to the Himachal Pradesh Tourism Development Corporation (HPTDC) by allowing its loss-making hotels to continue operating. Previously, the court had ordered the closure of 18 HPTDC hotels, which were incurring losses amounting to crores of rupees, with the shutdown deadline set for Monday, November 25. However, in a recent ruling, the High Court stayed this decision, providing relief to the corporation and extending an opportunity for further deliberations and potential solutions to address the financial challenges faced by these hotels.
The division bench of the Himachal Pradesh High Court has decided to stay the single bench’s order to close 18 loss-making hotels until the final hearing of the case. This decision provides temporary relief to the Himachal Pradesh Tourism Development Corporation (HPTDC), allowing the hotels to remain operational while the court reviews the matter further. The final verdict will be delivered after a thorough examination of the financial conditions and other relevant factors affecting these hotels.
The decision to stay the closure of 18 loss-making hotels of the Himachal Pradesh Tourism Development Corporation (HPTDC) was made by the division bench of the state High Court, comprising Justice Vivek Singh Thakur and Rakesh Kanthala, during a hearing on Monday. The court has also scheduled the next hearing for January 2, 2025, during which a progress report on the hotels will be presented. Former Advocate General Shravan Dogra, representing HPTDC, informed that the division bench’s ruling allows the corporation to continue operating the hotels, despite their financial losses, until the next hearing. The bench also stated that HPTDC has the right to manage its loss-making hotels and properties as it sees fit.
On November 19, the Single Bench Had Given Orders to Close
On November 19, the single bench of Justice Ajay Mohan Goyal of the Himachal Pradesh High Court had issued an order for the closure of 18 HPTDC hotels, which had occupancy rates below 40 percent, with the shutdown deadline set for November 25. The closure was ordered due to the non-payment of outstanding liabilities to retired employees of HPTDC. In response, the Himachal Pradesh Tourism Development Corporation (HPTDC) filed an application seeking a modification of the decision. Following this, the single bench allowed nine of the 18 hotels to remain operational until March 31, subject to certain conditions. Subsequently, HPTDC decided to appeal the decision before the division bench of the state High Court regarding the remaining loss-making hotels.
Orders to Keep These 18 Hotels of HPTDC Operational
The division bench of the Himachal Pradesh High Court has ordered that 18 hotels of the Himachal Pradesh Tourism Development Corporation (HPTDC) remain operational despite incurring losses amounting to crores of rupees. The hotels included in the order are Palace Hotel Chail, Hotel Geetanjali Dalhousie, Hotel Baghal Darlaghat, Hotel Dhauladhar Dharamshala, Hotel Kunal Dharamshala, Hotel Kashmir House Dharamshala, Hotel Apple Blossom Fagu Shimla, Hotel Chandrabhaga Keylong, Hotel Deodar Khajjiar, Hotel Giriganga Kharapathar Shimla, Hotel Meghdoot Kyarighat, Hotel Sarvari Kullu, Hotel Log Huts Manali, Hotel Hidimba Cottage Manali, Hotel Kunjum Manali, Hotel Bhagsu McLeodganj, Hotel The Castle Naggar Kullu, and Hotel Shivalik Parwanoo. The court’s decision follows the filing of an appeal by HPTDC to keep the hotels open despite their financial struggles.
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