The Himachal Pradesh government has secured a significant legal victory as the High Court has ruled in favor of the State, entitling it to receive Rs. 401 crore from the Wildflower Hall property through the Mashobra Resort Limited (MRL) Company. This verdict establishes the State as the sole owner of the company’s bank balances, shareholdings, and half of the advance capital against the Joint Venture Company (JVC).
According to the High Court order dated October 14, 2025, approximately Rs. 320 crore in bank balances belonging to the JVC will be transferred to the State. Additionally, Rs. 25 crore will be paid to the State as per an arbitral award. The entire shareholding of East India Hotels (EIH) in the JVC will be acquired by the State for Rs. 13 crore.
The court has further ordered that only 50 percent (Rs. 68 crore) of the Rs. 136 crore advance capital deposited by EIH in the JVC will be returned, granting an additional Rs. 68 crore benefit to the State. Previously, MRL was a joint venture between EIH and the State to operate the Wildflower Hall property.
A government spokesperson highlighted that this legal battle, ongoing for nearly 30 years, was resolved through the dedicated intervention of CM Sukhu. Earlier, on February 20, 2024, the Apex Court had transferred possession and ownership of the entire Wildflower Hall property to the State, with physical possession completed on March 31, 2025. The government engaged leading legal experts nationwide to secure this victory in the best interest of Himachal’s people.
The spokesperson also noted that while the State previously received no financial benefits from the property, the current government’s proactive efforts have now resulted in substantial returns.
In a related development, the Supreme Court ruled in favor of the State concerning royalty payments from the Karchham Wangtoo Hydro Electric Power Project. The Court directed JSW Energy Company to pay an 18 percent royalty instead of 12 percent, which is expected to generate over Rs. 250 crore annually for the State.
Sukhu expressed his satisfaction with these outcomes and reaffirmed the government’s commitment to safeguarding the interests of the people without compromise.
Nurturing Creativity – Keekli Charitable Trust, Shimla
