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Sofitel owes 31.82 crores to MMRDA

The MMRDA has denied permission to start the operation of Sofitel Hotel, owned by Shree Naman Hotels Pvt Ltd due to the outstanding dues payable by them on account of additional premium payable due to delayed execution of the project. After the Hotel owners promised to make the payment in installments the MMRDA gave it’s permission to start the hotel. However Shree Naman Hotels did not make the payments for the future EMI’s thereby an outstanding of Rs 31.82 crores is pending in default as per the information provided by MMRDA to RTI Activist Anil Galgali.

Galgali had sought information from the MMRDA about the project. As per the information and documents provided by the MMRDA to Galgali, it can be understood that as on date Rs 31,82, 31,975 is outstanding. The MMRDA had given on lease the plot now C-57 and C-58 in the G Block of the BKC to Shree Naman Hotels Pvt ltd for Rs 409.20 crores. Since the Hotel project could not be completed within the stipulated period of 4 years, the hotel was levied a penalty of Rs 20.46 crores and Rs 1 crore 6 lakhs 50 thousand 411 taking the total to Rs 21, 52, 50, 411 21 as additional premium for two plots. On 15th February 2012 the Sampatkumar, Chief of the MMRDA’s City and Regional Planning department modified it’s MMRDA order and granted five instalments to make the payment and granted the permission to start operations. In the ensued 56 months, the hotel has made payment for only two instalments totalling Rs 8, 76,28,100  but as on date, MMRDA has to receive the outstanding amount including interest. The hotel continues to do brisk business.

Classified as Mr Clean by the Cong party, the then CM Prithviraj Chavan passed an order despite the code of conduct being in force on 23rd September 2014 to the MMRDA. On the application of Shree Naman Hotels Pvt Ltd seeking waiver of the additional premium levied on them, and just 3 days before demitting Office put a remark as ‘ Examine and do the needful’ and sent the application to the MMRDA, who did not waive the additional premium.

Galgali has demanded that the OC issued to the Sofitel Hotel be immediately revoked if the company fails to make the payment of outstanding of additional premium and if necessary seal premises. In a letter addressed to CM Devendra Fadnavis, Galgali has demanded that the vide discretionary power given to the officers of MMRDA should be reviewed immediately.

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