High Court orders attachment of Himachal Bhawan in Delhi, BJP slams Sukhu govt’s ‘failure’ to defend state assets

In a major legal setback for the Himachal Pradesh government, the Himachal Pradesh High Court has ordered the attachment of Himachal Bhawan in New Delhi.

The decision by the bench of Justice Ajay Mohan Goyal for attachment of Himachal Bhawan in Delhi came in response to the state government’s failure to pay an upfront premium of Rs 64 crore to Seli Company, originally contracted for a hydroelectric project. The court has further directed the government to pay a 7 per cent interest on the outstanding amount, with this interest to be recovered from officials responsible for the lapse.

Long-standing dispute over hydropower project

The judgment on attachment of Himachal Bhawan in Delhi follows a longstanding dispute stemming from a 2009 agreement, in which the Himachal Pradesh government had allotted a 320 MW hydropower project in Lahaul-Spiti to Seli Company. According to the agreement, the government was responsible for providing essential infrastructure, including road access via the Border Roads Organisation (BRO), to facilitate the project’s timely completion.

Due to the alleged lack of government-provided facilities, Seli Company was unable to proceed with the project, ultimately returning it to the government. The government then seized the upfront premium, prompting the company to file a petition in 2017.

HC wants govt officials held accountable

The high court has also mandated that the Energy Secretary identify the officials whose negligence resulted in the unpaid premium. The Secretary has been given a 15-day deadline to complete this inquiry and present the names of those responsible at the next hearing, scheduled for December 6. Any amount due in interest on the unpaid premium will be recovered directly from these officials and subsequently paid to Seli Company.

This demand for accountability adds a new dimension to the case, as the government must now confront internal lapses that may have led to a significant financial burden for the state. Judge Goyal’s ruling underscores the court’s emphasis on holding specific officials accountable rather than passing the financial impact onto taxpayers.

BJP slams Sukhu government over ‘negligence’

The high court’s decision on attachment of Himachal Bhawan in Delhi has sparked a strong reaction from the state’s political opposition. Leader of Opposition Jai Ram Thakur criticised the Sukhu government, calling the attachment of Himachal Bhawan “unfortunate” and evidence of the administration’s alleged financial mismanagement. Thakur further accused the government of undermining Himachal Pradesh’s potential in the hydropower sector, citing restrictive and impractical regulations that he claims discourage investors.

Other opposition leaders attributed the setback to what they describe as the Sukhu administration’s “dictatorship” and inefficiency in managing the state’s resources and development projects.

With the court’s ruling, the ownership of Himachal Bhawan— an expansive 32-room property in Delhi that serves as accommodation for state officials, bureaucrats and occasionally the general public— now hangs in the balance. As ordered, the property is to be handed over to Seli Company as recompense for the outstanding premium.

The Himachal Pradesh government now faces an uphill legal and administrative battle as it seeks to challenge this setback to prevent loss of the state’s assets. The next  hearing is on December 6.