HC orders East India Hotel to handover Wildflower Hall to HP Tourism Corp

Shimla (Himachal Pradesh) [India], January 5 : The Himachal Pradesh High Court has ordered East India Hotel Ltd (EIH Ltd), the Oberoi Group's flagship company, to hand over possession of Wildflower Hall luxury hotel in Shimla to the Himachal Pradesh Tourism Development Corporation.
The review petition of the state government and the EIH Ltd (East India Hotel Ltd) has been dismissed.
The advocate of the state government and (HPTDC) Himachal Pradesh Tourism Development Corporation appeared in the court through video conferencing from Delhi and the the matter was reserved on December 29 by the court.
After the High Court's order on November 17, the state government took over the property of Wildflowers Hall later on November 18.
The senior additional advocate general of the HP High Court I.N. Mehta said that this is a landmark decision for the state.
"Today it is a historic decision of the Himachal Pradesh High Court and to Himachal Pradesh tourism where the East India Hotel Management and the Oberoi group have been directed to give possession to the HP government. The review petition has also been dismissed and on the application of the warrant the court has directed the hotel management to give possession to the HPTDC within two months," said the senior additional advocate general of HP High Court.
"The court has also directed that both the parties HPTDC and Hotel management will have to give names on one each Chartered Accountant to settle the account issues. The court has also directed to submit a compliance report by March 15, 2024. The possession will have to be given within two months and the compliance report will have to be given on the next day that is March 15, 2024," added Mehta.
After the High Court's order on November 17, the state government took over the property of Wildflowers Hall later on November 18. After this on November 18, the High Court had stayed the state government from any intervention in the hotel until further execution orders from the Court.
The Indian Hotel's WildFlowers Hall is located at Chharabra in the periphery of Shimla city, till the execution order is given by the court.
The High Court in October last year, dismissed an appeal filed by EIH Ltd (East India Hotel Ltd) and others against the State of HP and others in a dispute pertaining to Hotel Wildflower Hall.
The Wildflower Hall was owned by Lord Kitchener and was run as a hotel by HP Tourism Development Corporation but a fire gutted it in 1993. The hotel was handed over to the EIH for being run by way of a joint venture but the government terminated the agreement in 2002.
The two parties have been engaged in long litigation. The matter was listed in the HP High Court on Friday and orders in the main cases of the hotel have been reserved by the court.
The old Execution petition hearing was listed on Friday as the orders that were reserved on December 29.