List consequences if casino operators fail to pay hiked recurring fees: HC

Declines interim relief to Golden Globe stating notification is in general and not specific to one casino

PANJIM: The High Court of Bombay at Goa has asked the State government to make a submission on the consequences that will follow if casino operators fail to pay the recurring fees as per the latest fee hike notification. The State will make the submission on Thursday. 
Golden Globe Hotels Private Limited (GGHPL) had moved the High Court seeking directions to the government to reduce the exorbitant fee hike. The petitioner contended that the government’s decision was without intimation to casino operators and that a sudden surge could impact tourism in the State.
The petitioner, who has to pay Rs 30 crore as recurring fee as per the new rates, had also sought interim relief that he should be allowed to pay only Rs 11 crore, while the balance Rs 18 crore would be paid in instalments. The petitioner contended that the casino owned by him was put to operation only from January, this year.
The Division bench comprising Justice N M Jamdar and Justice Prithviraj Chauhan, however, declined to grant any interim relief stating that the notification issued is in general and not specific to one casino.
The State informed the Court that the notification is in effect for 15 casinos and an order by the court will have implications like heavy revenue loss to State. Advocate General Dattaprasad Lawande said that non-payment of fees will result in cancellation of casino licence. 
The Court asked the State to make a written submission as to the process and the modalities that will be adopted for cancelling the licence. The court sought to know whether before cancelling the licence a show cause notice will be served to the casino operator. 
Earlier, the petitioner claimed that the notification is arbitrary and there is no ground mentioned for such an exorbitant hike. The petitioner said they have already made a representation to the State government for reduction in fees. 

Share This Article