According to officials, details of implementation of the project and land usages would be taken subsequently by a Committee of Secretaries to be constituted under the chairmanship of Cabinet Secretary.
The Union Cabinet on Wednesday gave in-principle approval to transfer of Janpath Hotel property from the India Tourism Development Corporation Ltd (ITDC) to Ministry of Urban Development. The hotel rooms would be used as government offices thus saving the exchequer the amount on taking private properties on rent for official purposes.
Janpath hotel, located in a prime central location of the city, stopped its operations from Wednesday.
According to officials, details of implementation of the project and land usages would be taken subsequently by a Committee of Secretaries to be constituted under the chairmanship of Cabinet Secretary.
The building of Janpath hotel has to undergo major rehabilitation work since the building structure of hotel has been found to be unserviceable, in distressed condition and deficit in the context of seismic requirements, according to the inspection report of IIT Roorkee.
The Centre has incurred an expense of Rs 27 crore as rent on MPs stay in a five-star hotel during 2015-16. It has also initiated the process of disinvestment of hotels and properties of the ITDC. The decision on disinvestment has been made, keeping in view that running and managing hotels on professional lines is not the work of the Government or its entities.
In the first stage of the disinvestment process, it was decided to disinvest three hotels like Hotel Lake View Ashok, Bhopal, Hotel Brahmaputra Ashok, Guwahati and Hotel Bharatpur Ashok. Hotel Janpath, New Delhi is next in the list.
At present, most of the Lok Sabha members live in the MP flats in North Avenue and South Avenue, close to the Rashtrapati Bhavan, and also in Narmada and Kaveri Blocks.
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