The Tata-run Indian Hotels Company Limited (IHCL) will challenge the New Delhi Municipal Council’s (NDMC) decision to e-auction the iconic five-star Taj Mansingh Hotel.
Senior advocate Rajiv Nayyar, appearing for IHCL, told a bench headed by Justice PC Ghose that his client had serious objection to NDMC’s decision and would file objections against it soon.
The bench fixed March 22 to hear IHCL’s petition, saying its licence to run the hotel should be renewed.
NDMC counsel, additional solicitor general Sanjay Jain told the court that e-auction would provide equal opportunity to IHCL to bid for the hotel. He said the auction would be live and transparent. IHCL would know which company is bidding for how much. “Accordingly, they can also place their bid,” he said.
However, the court said it wanted to hear IHCL on the NDMC’s proposal and adjourned the matter. On IHCL’s plea, the top court had in November last year directed NDMC to maintain status quo.
The property, owned by NDMC, was given to IHCL on a lease of 33 years, which ended in 2011. Nine temporary extensions were given to the company on various grounds with three of them granted last year itself.