Himachal wins important legal battle, to receive Rs. 401 crore from Wildflower Hall property
Securing another important legal success, the Mashobra Resort Limited (MRL) Company will receive a total amount of Rs. 401 crore from the Wildflower Hall property, establishing the State as the sole owner of the Company. The High Court of Himachal Pradesh has ordered that the State has become the sole owner of the bank balances, share holdings and 50 percent of the advance against capital of the Joint Venture Company (JVC). As per the decision of the High Court dated 14th October, 2025, the Bank balances of approximately Rs. 320 crore belonging to JVC will be transferred to the State. In addition, the Court has ordered the payment of Rs. 25 crore to the State as per Arbitral award. The entire share holding of East India Hotels (EIH) in the JVC will be transferred to the State for a sum of Rs. 13 crore.
Furthermore, only 50 percent of the amount i.e. Rs. 68 crore will be returned to EIH in lieu of advance against capital of Rs. 136 crore deposited by EIH in the JVC, resulting in additional benefit of Rs. 68 crore to the State. MRL was previously Joint Venture Company of East India Hotel and the State to operate the Wildflower Hall property.
A spokesman of the State Government said that the legal battle was sub judice for almost 30 years, but due to the special intervention and sufficient efforts of Chief Minister Thakur Sukhvinder Singh Sukhu, the Apex Court vide its order dated 20th February, 2024, has earlier transferred the possession and ownership of the entire Wildflower Hall property in favour of the State. The State Government subsequently completed the physical possession and ownership of the property on 31st March, 2025. He said that the State Government fought this case vigorously in the Court with the help of leading lawyers of the country and secured the victory in the interest of the people of the State. He said that earlier the State was not receiving any financial returns from this property, but now the State is yielding positive outcome attributed to proactive efforts of the present State Government.
Earlier, in another case also, the Supreme Court has delivered a historic decision in favour of the State regarding royalty from Karchham Wangtoo Hydro Electric Power Project. The Court has directed to JSW Energy Company to pay 18 percent royalty to the State instead of 12 percent from this 1045 MW Capacity power project, earning more than Rs. 250 crore per annum to the State.
Chief Minister Thakur Sukhvinder Singh Sukhu has expressed his happiness on this outcome. He reiterated that the present State Government will continue its efforts to protect the interests of the people of the State and will not make any compromise at any level.
