The Water World Tourism Company, promoters of the Lake Palace resort of which former Transport Minister Thomas Chandy is a director, on Friday paid a fine of ₹34 lakh to the Alappuzha municipality and submitted an application for renewing the licence of the resort, official sources said.
The State government had issued an order on Thursday directing the municipality to issue licence to the resort after accepting the reduced fine of ₹34 lakh fixed by it. Earlier, the civic body had imposed a fine of ₹1.17 crore on the company for constructing 16 illegal structures at the resort. However, the resort appealed against the decision and Urban Affairs Department regional joint director V.R. Raju, who after conducting an inspection in May, submitted a report to the government against the findings of the municipality. The report suggested reduction of the fine to ₹34 lakh. Last month, the civic body rejected the government’s recommendation to reduce the penalty.
Following this, the municipal council observed that the government had no right to intervene in the matter and suggested that the resort file an appeal before the Tribunal for Local Self-Government Institutions. However, the municipal secretary recorded his dissent in the report submitted to the government.
A fresh order issued by Additional Chief Secretary T.K. Jose dated 11/07/2019 cited the Kerala Investment Promotion and Facilitation Act and directed the secretary to implement the government order based on the report of the regional joint director.
In November 2018, the municipality, based on a joint inspection report, issued a provisional order to the company to demolish or regularise unauthorised buildings at the resort. The joint inspection revealed that the company constructed 10 buildings and extended another 22 buildings in the resort without obtaining necessary permission. Later, the municipality imposed an initial fine of ₹2.73 crore. Regarding the 22 buildings, the resort submitted relevant documents of six structures during a hearing. Following this, the municipality reduced the penalty to ₹1.17 crore for 16 structures.
Sources said that no decision had been taken in connection with the 10 buildings constructed without permission.