Leela refutes AAI stand on land lease agreement

Hotel Leelaventure today refuted the Airports Authority of India's (AAI's) stand on the land lease agreement, saying it has taken all legal steps to contest the AAI notices on eviction process on its property near the Mumbai international airport.

"We have taken all legal steps to vigorously contest the notices and ensure its rights and options are protected under the law. For either party to make any definitive statements at this time would be premature," a company spokesperson said in a statement issued here.

The hotel operations are not affected in any manner due to this situation, the spokesperson added.

"We remain committed to delivering the best possible services. In fact, a determination regarding this matter can only be made when the full circumstances surrounding the lease arrangements have been addressed under due legal processes," the spokesperson said.

Last week, AAI had issued a statement saying it has started the eviction process against Hotel Leela Venture, which runs a five-star hotel on the plots of land leased to them near the Mumbai international airport.

It also said the national airports operator has started the proceedings to recover the dues.

The total area of the plot allotted by AAI is 29,000 square metres through different agreements, the statement said.

"Since they had defaulted in payment and also for other violations in terms of the agreements executed between AAI and Hotel Leela Venture Ltd and after prolonged litigations, AAI board decided to terminate the contract," AAI said in a release.

Subsequently, notices were issued for payment of dues and to hand over the possession of the property by October 31, 2016. Hotel Leelaventure owns the Leela Mumbai at Sahar.