SC allows NDMC to e-auction Taj Mansingh hotel

Taj Mansingh Hotel-wefornews-min

New Delhi, April 20, 2017: The Supreme Court today allowed New Delhi Municipal Council (NDMC) to E-auction Taj Mansingh hotel, thereby rejecting Tata’s plea to stall the auction, presently run by Indian Hotels Company Limited (IHCL).

A bench comprising Justices P C Ghose and R F Nariman allowed the plea of NDMC that the Tata Group firm cannot have the right to refusal in the auctioning of the hotel.

However, the bench asked the civic body to grant six months time to the company in vacating the hotel if it fails to bid in the e-auction.

The court also said that the “blemish-free” record of Tata Group firm IHCL may be taken into account by NDMC while auctioning the iconic property.

Earlier on March 3, the civic body had told the apex court that it wanted to e-auction the hotel.

IHCL, which runs the Taj Mansingh Hotel, on November 8, 2016, approached the apex court against the Delhi High Court order, which had paved the way for auctioning off the historic property.

The firm had challenged the October 27 judgement delivered by a division bench of the Delhi High Court, which had dismissed IHCL’s petition challenging the move by the NDMC to auction the property.

The Delhi HC had earlier dismissed the Tata Group’s appeal for retaining management rights over the Taj Mansingh Hotel, and in all practicality, told the business conglomerate that it would have to participate in the auction process.

The High Court, however, gave a green signal to the NDMC to go ahead with the public auction of the hotel.

Read More: SC to decide auction of Taj Mansingh Hotel

Wefornews Bureau

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