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SC allows NDMC to e-auction Taj Mansingh hotel

The iconic Tan Mansingh hotel will be put under the hammer as the Supreme Court on Thursday allowed New Delhi Municipal Corporation to e-auction the property.


A bench of Justices P C Ghose and R F Nariman cleared the hurdle for auctioning the property which was stiffly opposed by Tata group-run Indian Hotels Company Ltd which manages the hotel. IHCL had completed the construction of the hotel building, consisting of approximately 300 rooms, with all other allied facilities and started the commercial operation of the hotel with effect from October 10, 1978. The agreement period of 33 years is reckoned from the said date and the company had incurred an expenditure to the tune of Rs 461.61 lakh.

The agreement expired in 2011 and NDMC decided to auction the property, hoping to fetch a better price for granting the lease of the property. The company then approached the Delhi high court which dismissed its plea in October last year and allowed the civic body to auction the property