The Sterling Holiday Resort, a star hotel situated in the Sipasarubali area here, was sealed by the administration on Sunday night for causing public nuisance. According to reports, the then Puri Konark Regional Improvement Trust (PKRIT) had in 1992 approved the building plan of the hotel, which is located close to the confluence of Mangala river with the sea. During the inspection, Sub Divisional Magistrate Madhusudan Dash found that the hotel owner had illegally constructed a road on riverbed, obstructing the free flow of the river water. The riverbed was being dredged to shift the course of river away from the hotel.
Following complaints, the Divisional Forest Officer (DFO) and the Executive Engineer of Puri Irrigation Division conducted an inquiry and reported about the wrong doings of the hotel to the district magistrate. According to the report, the hotel site comes under the CRZ-1, the most ecological fragile zone. The Executive Engineer filed a complaint with the police in this regard.
The Additional Tehsildar of Brahmagiri also inquired into the complaint and reported regarding violation of CRZ norms and encroachment of riverbed by the hotel owner to the SDM. SDM Dash initiated a criminal case against the hotel under section 133 of the CrPC and ordered for its closure to prevent further public nuisance.
On the Sunday, Dash along with police went to the hotel and found that a drozer was working in the riverbed. The police evicted all boarders from the hotel and sealed the hotel and confiscated the drozer. Earlier in 2002, Beach Protection Council President Jagannath Bastia had made this allegation before the Ministry of Environment and Forests (MoEF). The Ministry then conducted an inquiry and asked the State Government to take action against the violator.