TTDC attempts to take over SRM Hotel premises in Tiruchi, HC grants relief till June 18

Revenue and Tourism officials on Friday attempted to take possession of the SRM Hotel premises on Race Course Road in Tiruchi, run by former MP and Indhiya Jananayaga Katchi (IJK) founder Paarivendhar, following the expiry of a 30-year lease agreement with the Tamil Nadu Tourism Development Corporation (TTDC). However, hotel representatives and IJK workers objected to the move

Revenue and Tourism officials on Friday attempted to take possession of SRM Hotel premises on Race Course Road in Tiruchi, run by former MP and Indhiya Jananayaga Katchi (IJK) founder Paarivendhar, following the expiry of a 30-year lease agreement with the Tamil Nadu Tourism Development Corporation (TTDC). However, hotel representatives and IJK workers objected to the move.

In a related development, Justice G.R. Swaminathan of the Madurai Bench of the Madras High Court granted interim relief to SRM Hotels Pvt. Ltd. till 4 p.m. on June 18. He said as per the agreement, the lease had to be renewed if there was a direction from the government. But there was no clarity if any decision was taken by the government. “Since no order has been produced before me, I am inclined to grant interim relief for four days. I make it clear that unless I specifically extend the interim order, it will automatically lapse,” the judge said.

The State government, however, submitted that it had decided not to renew the lease. It submitted that it taken possession of the property on the morning of June 14. The judge took note of the submission of the petitioner’s counsel that there was 80% occupancy in the hotel.

TTDC Managing Director C. Samayamoorthy said ₹47.93 crore was fixed as lease amount. But the hotel management had paid only ₹9.08 crore since 1994. The agreement stated that the land and buildings should be handed over to the TTDC on the day the lease period ends. “A notice was served to the management of the hotel on May 5 asking it to settle the pending dues (₹38.85 crore) immediately,” he said.

Earlier, a team of officials, led by District Revenue Officer R. Rajalakshmi and accompanied by a strong posse of police, asked the hotel management to vacate the premises immediately. They began counting the inventories.

A heated argument ensued among the officials, hotel representatives, and IJK workers. The latter asked the officials to stop their action citing that the issue was before the court. Later, the officials and the police left on information that the court had granted an injunction.

Collector M. Pradeep Kumar told The Hindu that the land, measuring 4.70 acres, was leased to SRM Hotels on June 14, 1994. Notices had been served to the hotel management on the expiry of lease and pending dues.