The Tata-owned Indian Hotels Company Limited today got another extension to operate the iconic Taj Mansingh hotel here as New Delhi Municipal Council did not get any response from the Solicitor General on the auction and the current lease expires on March 31.
"The council has decided to give a four-month extension, till July 31, to the IHCL for operating Taj Mansingh," said Jalaj Srivastava, chairperson of NDMC, the land-owning agency.
This is the fourth time the IHCL has got an extension to operate the hotel here in posh Lutyen's Bungalow Zone.
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"We have not recieved any response from the Solicitor General that has to come via Home Ministry on whether the Taj should get the first right of refusal in the auction or not," Srivastava said.
He also said that the council had sent a reminder to the Home Ministry on February 14 this year asking them to "fasten the process" as the last date of the previous extension, March 31, was drawing near.
The opinion of the law officer was sought after there were divergent views on giving the first right of refusal to IHCL in case an auction takes place.
While the Council was in favour of giving the first right of refusal, the Home Ministry was against it arguing that it may attract lower bids.
When the Home Ministry asked NDMC not to give IHCL the first right of refusal while auctioning the property, the civic body went to the Solicitor General to seek his opinion on it.
Along with recieving no response from the Ministry, another hurdle in the auction process is the model code of conduct that came into this place earlier this month in view of upcoming Lok Sabha elections.
