Wednesday, August 21, 2019

CITCO closes its lounge at airport

The Chandigarh Industrial and Tourism Development Corporation (CITCO) closed its domestic lounge at Chandigarh International Airport Limited (CHIAL) on Tuesday. Meanwhile, the CITCO management was directed to file a fresh civil suit against CHAIL in the District Court of Mohali, citing jurisdiction reasons. The instruction was issued by the court of Civil Judge Junior Division Simran Singh.
Advocate Umang Bansal, who was representing CITCO in the district courts, said, “According to the instructions of the District Court at Sector 43, we were scheduled to vacate the lounge on August 10, but were given time till August 16. Now, we have vacated the lounge. The court also directed us to file a fresh plea in the District Court of Mohali, citing that CHIAL came under the jurisdiction of Mohali.”
A senior CITCO officer said, “On Tuesday, we withdrew all our employees, who were appointed in the lounge at CHIAL. These employees were deputed in other units of CITCO. The further course of action regarding CHIAL will be decided shortly.”
According to the information, in September 2016, the High Court had directed the Airport Authority of India (AAI) to approach CITCO for setting up lounges at the Chandigarh airport. It said that CITCO would operate executive lounges at international and domestic terminals and commercial rates were charged for the allotted areas as licence fee. However, later it was found that the passengers do not have time to visit the lounges as there was no stopover of flights at the airport and hence it was prayed to allot the internal and domestic lounges on long-term lease on rental basis. The CHIAL in November 2017 extended the allotment of executive lounges to CITCO for five years till 2021. No rebate was given but the licence fee was increased by 10 per cent.
21/08/19 Indian Express
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