In a significant turn of events, the Himachal Pradesh High Court on Friday allowed the Himachal Pradesh Tourism Development Corporation (HPTDC) to continue operating nine of its eighteen hotels that were previously directed to shut down due to poor performance. This decision extends the operational period for these properties until March 31, 2025.
The ruling came after the HPTDC sought modifications to a November 19 court order that had initially mandated the closure of all 18 underperforming hotels. The plea for recall and modification highlighted ongoing efforts by the corporation to maximize the utility of its assets and transform these properties into profitable ventures.
Justice Ajay Mohan Goel, overseeing the matter, clarified that the court’s latest decision does not entirely overturn its previous directive but provides a temporary reprieve for selected hotels due to their specific circumstances, such as existing room and event bookings.
The counsel for HPTDC argued that some of the properties in question not only offer hotel rooms but also feature restaurant and banquet facilities which have recently begun generating revenue. This contribution was crucial in the court’s decision to permit their continued operation.
The hotels allowed to remain open include notable destinations such as The Palace Hotel in Chail, Hotel Chandrabhaga in Keylong, and Hotel Dhauladhar in Dharamshala, among others. These establishments were previously identified as financially unsustainable, which the court described as “white elephants” draining public resources.
In response to the ruling, Naresh Chauhan, the principal media adviser to the chief minister, assured that the interests of the corporation’s employees and stakeholders are secure. He further distanced the current Congress government from the mismanagement attributed to the previous BJP administration, which he blamed for the hotels’ dire conditions.
