The Rajasthan Tourism Development Corporation has cancelled the lease of Hotel Jaisamand, which was among the four hotel properties of the corporation leased out to a single party.

As per information, the lease was cancelled as the lessee had violated the norms of the memorandum of understanding and was doing additional construction in the hotel under the guise of renovation.

A committee was constituted in the earlier weeks after it was reported that a swimming pool was being constructed in an area that was adjacent to the lake. The villagers of the area had also objected to this construction. As per norms, the lessee cannot do any additional construction and only renovation is permitted for upkeep of the property.

The RTDC, in its orders based on the findings of the committee, said in its order that the lessee has violated clause 10, 11 and 17 of the contract, which was only agreeing to renovation. The committee, in its report, said that the lessee had dug up a natural rock formation within the premises, but adjacent to the lake. This was being done to construct a swimming pool. RTDC further said that the as per the original map of the hotel premises available in the archives, this area was a courtyard. Further, this area also comes under the forest departments, which has led various concerned departments as well as the district administration to take cognizance of the violation. The District Administration, Divisional Commissioner’s office, forest department and water resources department had written to the Managing Director of RTDC, to explain the construction of the swimming pool.

Concerns of the Lease Contract

Earlier on, the RTDC Managing Director was reprimanded by the Principal Secretary of Tourism and Chairman of RTDC for not turning up in a meeting that was held to review the MoU violations.

RTDC has come under the scanner for leasing out four properties to a private destination management company for a measly sum of Rs. 40,000 per month, which is also a violation of several norms. How the figure of Rs. 10,000 per hotel property was decided is still a matter of contention. Interestingly, these four properties were leased out to the same private company in 2006 for Rs 36,514. After a dispute over non-payment of lease money, the RTDC took over the property and it remained closed. An arbitrator, who was then appointed by court, allowed the parties to re-enter the agreement.

A month ago, a press conference was organized by the lessee, where they had said that the work at Hotel Jaisamand was being done after the necessary approvals, and it was the interference of the nearby commercial competitors, which was the reason for a non-issue becoming a matter of contention. The RTDC had leased out Hotel Jaisamand, Hotel Gogunda, Rest House Haldighati in Rajsamand and Hotel Pindwara to the lessee for a period of 5 years beginning April 2021. The cumulative rent of the properties is Rs. 40,000 as per reports.

Source: Media Reports