Himachal Pradesh High Court on Saturday has issued stay on the executive orders of the Himachal Pradesh government to take possession of the Oberoi group run Hotel Wildflower Hall at Charabara in the suburbs of Shimla city.
On 17 November the state government had issued an executive order and decided to exercise its right to resume the Wildflower Hall property with immediate effect in terms of the Arbitral Award.
Tourism Director Mansi Sahay Thakur was appointed as the Administrator, while Himachal Pradesh Tourism Development Corporation (HPTDC) General Manager Anil Taneja was appointed OSD for Management of the Wildflower Hall property.
The state government earlier during the day tried to take over the five-star hotel, as the HPTDC and Shimla district administration reached the said property with police force to take possession of the same citing High Court orders.
The arbitration order moved in the High Court had come in its favour, putting an end to more than 20 years old legal battle.
The Oberoi group had owed around Rs 120 crore towards revenue equity to the Himachal Pradesh government and due to which the government suffered losses.
However, by noon the Court imposed a stay and ordered it to maintain the same status. The matter will now be heard on November 21.
Last year in August, the Himachal Pradesh High Court had upheld the Himachal Pradesh decision to take back the property following a dispute.
Oberoi group had challenged the arbitration award of this property in the Apex Court, but was slapped with a heavy penalty.