As its licence is likely to be cancelled, the club is hoping to get a lease extension
Towers Club in Anna Nagar has paid ‘damages fees for use and occupation’ of 33,285 sq. ft. of land belonging to the Chennai Corporation.
The damages fee was calculated based on an audit report. The land was originally demarcated for creation of a park under a scheme of the Tamil Nadu Housing Board.
The civic body will take the next step towards retrieving the land in W-Block, Third Main Road, Anna Nagar. A reminder was sent by the civic body on August 28, 2012, to the club. As cancellation of the club’s licence is likely to be initiated shortly, Towers Club is scrambling to get an extension of its lease.
The 5,872-sq. ft. building on the land was given on lease to Towers Club during the period from September 4, 1989, to September 3, 1992. The lease was extended during the period from September 3, 1992, to September 2, 1993, after which there was no lease extension.
The 5,872-sq. ft. building is under unauthorised occupation by Towers Club. According to Chennai Corporation officials, the club is yet to hand over the Corporation land that has been encroached upon. The club had requested the Chennai Corporation for a 99-year lease in September 1995. However, the government did not respond to the request.
A loss of Rs. 34.26 lakh was also calculated as part of the audit objection raised in 2005-2006. When Chennai Corporation issued a notice to Towers Club a few months ago, the club denied the occupation of the building or the land was illegal. The 1,700-member club is yet to admit that the occupation of the land is illegal.