The Himachal Pradesh government has won a major legal battle over the iconic Wildflower Hall property in Mashobra, securing ₹401 crore and full ownership rights after nearly three decades of litigation. The Himachal Pradesh High Court, in its judgment dated October 14, 2025, declared the State as the sole owner of Mashobra Resort Limited (MRL), the joint venture company that operated the property in partnership with East India Hotels (EIH).
As per the court’s order, bank balances of approximately ₹320 crore belonging to the Joint Venture Company will be transferred to the State government. The Court also directed that ₹25 crore be paid to the State under an arbitral award, while all shares held by EIH in the company will be transferred to the State for ₹13 crore. Additionally, the Court ruled that only half of the advance against capital deposited by EIH — ₹68 crore out of ₹136 crore — will be returned, giving the State an additional benefit of ₹68 crore.
A government spokesman said the legal dispute had remained unresolved for almost 30 years, but through the special intervention and persistent efforts of the state government, the case was brought to a successful conclusion. He said the Apex Court had earlier, on February 20, 2024, ordered the transfer of possession and ownership of the entire Wildflower Hall property in favour of the State. The government subsequently took complete physical possession of the property on March 31, 2025.
The spokesman added that the State government pursued the case vigorously. “Earlier, the State was not getting any financial returns from this property, but now the outcome is clearly in favour of Himachal, thanks to the proactive approach of the present government,” he said.
Wildflower Hall, once the residence of Lord Kitchener during the British era, had been converted into a luxury heritage hotel under a joint venture between the State and East India Hotels. The long-standing dispute over ownership and revenue sharing has now been resolved completely in favour of Himachal Pradesh.
The spokesman further recalled that this is the second major legal victory for the State government in recent months. Earlier, the Supreme Court had delivered a landmark decision directing JSW Energy to pay 18 percent royalty instead of 12 percent from the 1,045 MW Karchham Wangtoo Hydro Electric Power Project, providing an additional annual income of over ₹250 crore to the State.
Chief Minister Sukhu expressed happiness over the latest verdict, saying that his government is committed to protecting public assets and ensuring that the State’s financial interests are safeguarded. He said the government would continue to defend Himachal’s rights at every legal and administrative level and would not compromise on matters concerning the welfare of the people.
