State Revenue Minister Badal Chowdhury said, government has decided to appeal to the higher courts against the verdict of the civil judge (Senior Division), Gobinda Das on June 8, asking the government to hand over the Neermahal and Rudrasagar to the royal scion and pay a compensation of Rs. 20.5 lakh annually along with 6 per cent interest accrued since 1974.
The minister further said the last Prince of the royal family, Kirit Bikram had donated to the state government and no one had demanded the ownership of Neermahal and Rudrasagar until the death of the Prince.
In 2008, Maharani Bivu Kumari Devi, widow of Kirit Bikram Manikya, the son of the last king Birbikram Kishore Manikya had issued a notice to the state government requesting to hand over Neer Mahal spread over 6.01 acres and Rudra Sagar spread over 26.61 acres stating the government didnot implement the will of the late Maharaja Kirit Bikram Kishore Manikya, the last Prince.
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She then filed a case before Judicial Magistrate, West Tripura district on April 25, 2008 seeking court's intervention to get her property - Neer Mahal and Rudra Sagar.
Bibhu Devi had pleaded, "Since the state government has failed to fulfill the will of late Maharaja to properly maintain and promote them as tourism spot, it must be returned to the owner".
Tripura's last king Bir Bikram Kishore Manikya Bahadur engaged the Martin and Burn Company to build the grand palace Neermahal in 1930 in the midst of the sprawling lake -Rudrasagar, which the king used as his summer palace.