Gurugram: Appu Ghar sealed over dues, contract breach

GURUGRAM: The Haryana Shahari Vikas Pradhikaran (HSVP) on Sunday sealed Appu Ghar amusement park in Sector 29 over lease payment dues of Rs 48.5 crore. The move, an official said, has been taken after International Recreation and Amusement Ltd - the company managing it failed to clear the dues even after sending repeated requests for around seven years.
According to HSVP officials, IRAL failed to follow the contract agreement and pay the lease rent amounting to over Rs 24.3 crore and an equal amount of penalty over the last several years.
The HSVP had cancelled the park's lease deed after 30 days of show cause notice, which was granted to cure the breaches and defaults to the company, had lapsed.
The authority, according to officials, has been sending repeated reminders to the company since 2015 to clear its dues.
"The action was taken after sending repeated notices to the promoters, who failed to pay the dues. The amusement park was sealed after the lease agreement was cancelled on September 2," said Sanjeev Singla, estate officer-II, HSVP.
In June 2011, the HSVP allotted IRAL 42 acres of land. While 25 acres of land was allotted in Sector 29 to set up a water park and about 17 acres of land was given in Sector 52 to build a mall. According to the contract, IRAL's lease was granted for 33 years and the company had to pay the rent to HSVP from 2011 onwards. However, it failed to honour the agreement.
"Notices were issued to the amusement park management in 2015, 2016, 2017, 2021, and 2022 over the dues but it failed to respond to the notices. "Additionally, notices were issued on August 19 last year. Then again, on June 29 and August 16 this year orders were sent. Also, a 30-day period was granted to clear the dues and correct the breaches. But the company failed to pay even a single penny till date," said the HSVP official.
Besides the rent dues and subsequent penalties imposed by the authority, there's an additional penalty of over Rs 95 lakh is pending towards water supply from 2016, which is payable to HSVP as on August 31.
The company, on its part, has called the decision taken by the authority unfair and hasty. The company is planning to take the matter to the court and seek legal recourse.
Rakesh Babbar, director, IRAL said," The decision taken by HSVP was against the spirit of justice. The matter is under NCLAT's consideration. We will challenge the action in court."