Hyderabad: TSDTCL seizes Snow World for failing to pay rent of Rs 16.70 cr
TSTDCL seized Snow World at Lower Tank Bund for failing to pay the lease rent and other charges, which accumulated to Rs 16.70 crore, besides cancelling the Licence Agreement.
Hyderabad: Telangana State Tourism Development Corporation Limited (TSTDCL) on Thursday seized Snow World at Lower Tank Bund for failing to pay the lease rent and other charges, which accumulated to Rs 16.70 crore, besides cancelling the Licence Agreement.
A team of TSTDCL officials arrived at Snow World and sealed the premises and closed the entrance for public and business. The premises would be opened for public only after all the dues are cleared by the management, said a senior official from TSTDCL.
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TSTDCL under a Public Private Partnership project had taken up the Snow World project at Lower Tank Bund. The TSTDCL officials have been instructing the Snow World management to clear the lease rentals and outstanding dues. A few notices were also served to this effect.
After a few meetings and not satisfied with the management’s explanation, the TSTDCL issued Notice of Termination in May early this year. In the notice it was mentioned that Agreement with the management would be cancelled, if it failed to clear the accumulated dues of Rs.16.70 crore as on July 31, 2022.
This is not an isolated case. In the united Andhra Pradesh, the then governments as a means to promote tourism and develop different projects under PPP mode have sanctioned valuable and strategically located government lands to different private companies.
Under this initiative, I-Max Theater (Necklace Road), Expotel Hotel (Lower Tank Bund), Trident Hotel (Madhapur), Daspalla Hotel (Jubilee Hills), Jalvihar (Necklace Road) and Golf Courses at Shamirpet were developed on government lands.
During the execution of lease agreements, the then governments had stipulated few rules and regulations, especially in terms of annual lease and revenue sharing (ADP).
Those, who had developed different projects, were not paying annual lease amount and revenue share and were approaching courts with different reasons. They were continuing operations and projects in government lands and this was resulting in a huge financial loss to the government.
