THE SAGA OF THE STAR-CROSSED HOTEL
Article Abstract:
Mr Satya Pal Gupta, the chairman of Sunair Hotels is caught up in a controversy with VSL Finance of Delhi, a non-banking finance company. Sunair Hotels is currently setting up a five-star hotel in Delhi. VSL Finance holds Rs7 crore in the equity of the hotel project. The initial paid-up capital of Sunair Hotels was fixed at Rs30 crore. While Mr Gupta brought in Rs22 crore, VSL Finance had agreed to mobilise Rs85 crore in loans and has also offered Sunair a security deposit of Rs10 crore at an interest rate of 20 percent. Sunair Hotels has failed to pay the quarterly interest on the security deposit of Rs8 crore. VLS has written to the Tourism Finance Corp of India which is the lead financial institution for the hotel project to take action against Sunair. Mr Gupta has accused VLS of violating certain clauses in the memorandum of understanding and has stated that Sunair had the right to forfeit VLS' security deposit. VLS has filed a petition with the Company Law Board (CLB) alleging that the Guptas had manipulated finances to bring in Rs22 crore as their equity share in Sunair. Currently CLB is hearing the case and both parties have reached an agreement. Under the agreement, Sunair will return VLS's security deposit and buy its Sunair shares for Rs19 crore. VLS has agreed to the offer. (uh)(vr)
Comment:
Mr Satya Pal Gupta, the chairman of Sunair Hotels is caught up in a controversy with VSL Finance of Delhi, a non-banking finance company.
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1999
User Contributions:
Comment about this article or add new information about this topic:
RIDING INN
Article Abstract:
Asian Hotels is setting up a 250 room, five-star hotel in Calcutta called Parkroyal. The project is receiving operational and management services support from the SPHC group of Australia. EIH has plans to undertake a hotel project in Jaisalmer and is renovating The Trident in Calcutta at a cost of Rs10 crore. ITC Hotels is expanding its Maurya Sheraton at Delhi by adding another 80 rooms. It is also implementing its Rs450 crore, 350- room deluxe hotel near Mumbai's Sahar airport and a 250-room, Rs125 crore hotel at Calcutta. ITC also plans to build a 50-room hotel in Jaisalmer. Indian Hotels plans to set up a five-star deluxe hotel in Chennai, which is expected to be completed by 2001 AD. Regent International is establishing a 508 room, five- star deluxe hotel at Mumbai, called the Regent Mumbai. Le Meridien Hotels & Resorts has proposed to set up 250 room, five- star hotels near Mumbai's Sahar airport, Chennai and Goa. Unitech has decided to set up its second five-star Radisson Hotel in Gurgaon, near Indira Gandhi International airport, Delhi. The 120- room hotel is expected to be completed by 2000 AD. (gsh)
Comment:
Sets up a 250-room, five-star hotel in Calcutta, India called Parkroyal
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1998
User Contributions:
Comment about this article or add new information about this topic:
A LOT IS COOKING AT THE TAJ
Article Abstract:
The Taj group of hotels has drawn up a programme to spend Rs1200 crore on setting up new hotels and refurbishing existing ones. It plans to spend Rs800 crore to set up 17 new hotels in India and Rs400 crore to renovate the existing ones. It has decided to close down two of its hotels in the US but is investing $250-300 million to acquire hotels in Indonesia, Thailand and Singapore. The group has abandoned plans to set up a hotel-cum-convention centre at the Bandra-Kurla complex in Mumbai. The group has appointed Lazard Bros to review the operations of its 18 overseas hotels, which include three in Sri Lanka, two in the Maldives, two in Dubai, one in the UK and six in the US. The Taj group has decided to sell half its equity in St James Court Hotel and Apartments in London, UK. (khr)
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1998
User Contributions:
Comment about this article or add new information about this topic: