Haryana Shahari Vikas Pradhikaran (HSVP) has sealed the Kingdom of Dreams (KOD) located in Sector-29 due to non-payment of the monthly lease payment to the tune of Rs 107 crores over the last several years.
Officials of the HSVP said that notices had been issued to the KOD management regarding the pending dues but the management failed to act against the notices.
According to information a lease contract was done between Gagan Sharma, the operator of Kingdom Dreams, and HSVP in 1998 and the KOD was completed in 2008, the management was to pay Rs 34 lakh every month as rent to HSVP from 2008 onwards. However, despite being given repeated notices by the HSVP, the due amount was not paid by the KOD management.
HSVP officials said, the Great Indian Nautanki Company was running the KOD and was given several notices by HSVP to clear the dues but the management did not take the notice seriously. Subsequently, on July 6 this month, HSVP administrator Jaspreet Kaur cancelled the lease deed. Even before cancelling the lease deed, 15-20 days show cause notice was given. The authority has also imposed a penalty of 100 crores on the outstanding amount of 108 crores. Apart from this, a penalty of about Rs 114 crore has also been imposed for the land encroached near KOD. This land was cleared only last week. “The lease deed was cancelled for non-payment of amount.
Notice was given even before cancellation of lease deed. According to orders of Chief Administrator HSVP, possession of KOD was taken on Friday," Sanjeev Singla, Estate Officer-II, HSVP said.