The state of Meghalaya had threatened to withdraw as co-hosts of the Games when the badminton event was shifted to Guwahati from Shillong due to inadequate facilities at the proposed venue.
However, the matter was sorted out during a meeting between the Sports Minister and the Chief Minister of Meghalaya Mukul Sangma.
Meghalaya had also decided to boycott the Executive Committee Meeting of the SAG to be held in Guwahati on Monday on the advise of Sangma.
"We have just received the information from Meghalaya government that badminton will be held in Shillong as earlier scheduled. Meghalaya officials will attend the EC meeting on Monday," Meghalaya Olympic Association President John F Kharshiing.
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Another official said now "Meghalaya will not withdraw as co-hosts of the Games. The matter has been sorted out now."
The SAI Sports Centre at Shillong's North East Hill University, which is a multipurpose indoor stadium, was reportedly found not suitable by the Badminton Association of India officials owing to poor lighting and lack of wooden flooring for the warm-up courts.
Gopichand was to inspect the venue on January 13 but the matter has already been resolved.