Fadnavis promises inquiry into Sena minister’s son bidding for undervalued hotel

The issue was raised in the legislative council by the leader of the opposition, the Shiv Sena (UBT)’s Ambadas Danve

MUMBAI: Chief minister Devendra Fadnavis has launched a high-level inquiry into the sale of VITS hotel in Chhatrapati Sambhajinagar after the opposition levelled allegations against Shiv Sena leader and social welfare minister Sanjay Shirsat, whose son Siddhant won the bid to buy the hotel in an auction last month. The entire process was subsequently scrapped but opposition leaders have demanded action.

CM Devendra Fadnavis (Hindustan Times)

The issue was raised in the legislative council by the leader of the opposition, the Shiv Sena (UBT)’s Ambadas Danve, on Monday. The opposition collectively attacked Shirsat, who made desperate attempts to explain until finally Fadnavis announced an inquiry. No one from the Shiv Sena got up to defend him.

Danve said that a government valuer had pegged the price of the hotel at ₹75.92 crore in 2018. He pointed out that the current valuation was ₹150 crore, and asked why the hotel was auctioned at 2018 rates in 2025.

The hotel was the property of Dhanada Corporation Ltd and was running at a loss. It was taken over a few years ago and was to be sold to pay off shareholders. Danve pointed out that three companies, including M/S Siddhant Material Procurement and Supply applied, adding that this company owned by Siddhant was registered in 2024 and did not fulfil the conditions set for the bidders.

Both Danve and Shirsat hail from Chhatrapati Sambhajinagar and are political rivals. After the criticism, Siddhant had backed down from the auction while his father had said that he asked his son to withdraw, as the Opposition was politicising the issue.

Replying to Danve’s allegations, BJP leader and revenue minister Chandrashekhar Bawankule said that the entire tender had been cancelled. “Six notices were issued for the auction at 2018 rates but no one came forward,” he said. “The court, under The Maharashtra Protection of Interests of Depositors Act, said the revenue department could auction the hotel at 2018 rates.” Bawankule added that care would be taken when a fresh auction took place.

Bawankule said he would inquire into the alleged wrongdoing, which was not accepted by the Opposition. Shiv Sena (UBT) MLC Anil Parab also demanded action against the revenue officers, while Congress MLC Bhai Jagtap asked for an FIR against Siddhant for concealing facts before applying for the tender. BJP MLC Pravin Darekar riposted that there was political enmity behind all the criticism, and there was no question of action against Siddhant, as the tender had been cancelled.

Amidst the pandemonium, Fadnavis said, “The revenue minister has clarified that the process has been scrapped, and a new process will be started. There must be transparency. Therefore, we will initiate a high-level probe to probe if there has been any irregularity.”