Delhi's iconic Taj Mahal Hotel, popularly known as Taj Mansingh, currently run by the Tatas, must be auctioned, the Supreme Court said today. However, the Tata group will have to be given six months to vacate if its bid in the online auction is not the winning offer, said the court.
The Tatas had been given a 33-year lease for the property in one of the most central parts of the capital. The contract ended in 2011. The conglomerate's hotel division was given nine extensions after that. Last month, officials at a meeting headed by Chief Minister Arvind Kejriwal concluded that the hotel would be auctioned.
That decision came after the agency that controls the land - the New Delhi Municipal Council - was taken to court by the Tatas who fought the proposal for a new lease based on bids at market rental prices, claiming that the civic agency gets considerable revenue through the current arrangement.