The Himachal Pradesh Tourism Development Corporation (HPTDC) received a significant reprieve on Monday as the High Court permitted nine additional hotels to remain operational until March 31. This decision comes after the court had earlier ordered the closure of 18 loss-making hotels with occupancy rates below 40% starting November 25.
The division bench of the High Court stayed the closure of these nine hotels while also directing HPTDC to clear all pending financial benefits of its pensioners by June 30, 2025. The case was argued by former Advocate General Shravan Dogra on behalf of the Tourism Corporation.
Relief for HPTDC and the Tourism Sector
The hotels now allowed to remain open include:
- Geetanjali, Dalhousie
- Baghal, Dadlaghat
- Kunal, Dharamshala
- Kashmir House, Dharamshala
- Apple Blossom, Fagu
- Giri Ganga, Kharapathar
- Sarvari, Kullu
- Hidimba Cottage, Manali
- Shivalik, Parwanoo
These establishments, previously marked for closure, will continue operations, providing a temporary lifeline to the tourism sector in these areas.
The High Court’s earlier decision to close 18 hotels was linked to HPTDC’s inability to clear dues owed to retired employees. However, the court had previously granted conditional relief for nine of these hotels to operate until March 31. With this latest decision, all 18 hotels have been allowed to function temporarily.
HPTDC officials and stakeholders have welcomed the order, as it provides a critical time to explore solutions for sustaining operations while addressing financial obligations. The stay also ensures continued service for tourists and helps maintain employment for staff dependent on these hotels.
The High Court’s directive to settle pensioners’ dues by mid-2025 remains a significant challenge for the corporation, which is expected to make financial adjustments to meet this obligation. The decision underscores the importance of balancing financial accountability with the need to sustain the state’s tourism infrastructure.
