Himachal Pradesh High Court Orders Closure of 18 State Tourism Hotels Amid Financial Concerns

Himachal Pradesh's High Court orders the closure of 18 underperforming tourism hotels by November 25 due to poor financial viability. The court, led by Justice Ajay Mohan Goel, labels these hotels as burdensome for the state. Minister Jagat Singh Negi suggests a reconsideration to avoid job losses.

In a landmark decision, the Himachal Pradesh High Court has ordered the closure of 18 financially unviable hotels operated by the Himachal Pradesh Tourism Development Corporation (HPTDC). Presiding Justice Ajay Mohan Goel instructed that the hotels cease operations by November 25, holding the Corporation's Managing Director personally accountable for implementing the directive.

Labeling the properties as 'white elephants', Justice Goel emphasized the unsustainable burden these hotels place on the state's finances, coupled with the ongoing fiscal constraints frequently highlighted in court proceedings. The order aims to prevent the misuse of public resources amid the current economic strain faced by the state.

Meanwhile, Himachal Pradesh Revenue Minister Jagat Singh Negi expressed concerns over potential job losses and suggested alternative measures to address the financial underperformance. He noted that the hotels were initially established to boost tourism and emphasized the need for a strategic evaluation before permanently shutting down these prime-location properties.

(With inputs from agencies.)