Udaipur's Laxmi Vilas to retain its old glory - CBI Court reinstates iconic hotel as government property

The shady deal that undervalued a government property to less than 5% of its true value, took place 2 decades ago, resulting in multiple litigations. The Lalit group and then government authorities were accused of manipulations and cheating the public exchequer.

By UdaipurTimes Team Sep 17, 2020, 07:06 IST

CBI Court has issued an order on 16 September, according to which The Lalit Laxmi Vilas will be reinstated as a government owned property.

District Collector Chetan Deora and Divisional Commissioner Vikas Bhale visited the Laxmi Vilas on Wednesday, 16 September along with a team from the police department and administration to initiate the paper work and begin execution of the orders of the CBI Court.

Laxmi Vilas, the icon of Udaipur, overlooks the Fatehsagar Lake at Udaipur and is a prominent property in the state. A deal between government authorities and The Lalit group saw this hotel that was valued at Rs 151 Crore, move into private hands for a mere Rs 7.52 Crore. This deal was challenged immediately and a CBI enquiry was initiated against the transaction.

The property was valued at Rs 151 Crore in 2002 and the government had spent an additional Rs. 2.5 crore on the hotel’s renovation, prior to its sale. Hue and cry was raised over the deal and litigations were in place immediately, based on which the court had ordered a CBI enquiry into the matter. It has taken 18 years for the decision to be taken, which seemed to be a no brainer since then. The property has been declared to be a government property finally.

Additional CEO of the Zila Parishad has been appointed by the district administration to oversee the transfer.