Golf club withdraws petition from high court

  • HT Correspondent, Hindustan Times, Chandigarh
  • Updated: May 20, 2014 11:31 IST

The Chandigarh Golf Club (CGC) on Monday withdrew its petition from the Punjab and Haryana high court after the Chandigarh administration informed the court that it had revised the lease rent scheme for CGC’s 132 acres land to Rs 10.02 lakh per month from financial year 2008-09 with prospective yearly increase.

UT administration submitted that as per the new scheme the monthly rent for 2008-09, which was around Rs 13 lakh per month as per its earlier calculations had now been reduced to Rs 10.02 lakh per month.

Hence, the total lease amount of Rs 9.27 crore from 2008-2013, which CGC was earlier ordered to pay by UT administration, had come down to around Rs 7 crore, it was informed.

However, the division bench headed by justice SK Mittal granted CGC the liberty to challenge UT administration’s decision in case it was not satisfied with the new scheme.

At the same time, the court made it clear to the UT administration not to take any coercive action against the CGC for the next 15 days.

CGC had petitioned the high court last year challenging the UT administration’s decision of enhancing its lease amount enormously and charging of Rs 9.27 crore as rent, including interest for five years (March 2008- 2013).

As per the earlier lease, which was for 20 years (1988 to 2008), the annual lease amount of the club, established on August 25, 1966, was Rs 1 lakh.

However, after the revision of lease amount in November last year it reached up to Rs 1.61 crore annually.

The court had appointed justice Kuldip Singh (retd) as the mediator in the case but UT administration had opposed his suggestion for Rs 36 lakh per year lease amount to be paid by the club. Lastly, the court had decided to deal with the issue itself.

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