NDMC to wait for final HC orders to act on Taj Hotel RFP

The NDMC will wait for the final order of the Delhi High Court before acting on the 'request for proposal' (RFP) for the auction of Taj Mahal Hotel.

NDMC to wait for final HC orders to act on Taj Hotel RFP
NEW DELHI: The New Delhi Municipal Council will wait for the final order of the Delhi High Court before acting on the 'request for proposal' (RFP) for the auction of Taj Mahal Hotel in central Delhi.

"We will wait to receive the court order. After reviewing it, we will call a special meeting in the next few days to discuss the RFP," said Archna Arora, chairperson of NDMC after the council's meeting.

The Taj Mansingh request for proposal was part of the agenda. It contains the terms of the auction and conditions of the tender. The two documents are complete and have to be approved by the council after which the tendering process for the auction will be initiated.

The Delhi HC had on Tuesday asked NDMC to file its reply to the injunction suit filed by the Tata group firm Indian Hotels Company, which operates the Taj group of hotels. It had also restrained the civic agency from taking any 'coercive step' against IHC and said the company will be at liberty to approach court if NDMC does so.

Indian Hotels Company had filed an injunction suit in the Delhi High Court last week "to protect its position". This came after the civic body decided to go for an auction of the property after almost two years of discussions on revision of terms since the 33-year lease ended in October 2011.

NDMC had decided in its council meeting in September to auction the property and give IHC the right to match the highest bidder. It also extended IHC's lease for the hotel by another year up to October 2013.

IHC, though, has been keen on retaining the property, which is a flagship for the group and contributes close to 150 crore in revenues every year.

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