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A relief for golf club members

By Nirnimesh Kumar

NEW DELHI OCT. 25. The Monopolies and Restrictive Trade Practices Commission (MRTPC) has directed Jay Pee Greens, lessee of the Greater Noida Golf Course Club in the neighbourhood of the Capital, to allow those members of the Golf Course who have refused to pay enhanced membership fees to avail of the facilities at the club till the dispute between them is finally decided.

Issuing the direction, the Chairman of the Commission, Justice C.M. Nayar, and Moksh Mahajan, Member, said: "We hold that the applicants (members) before us are entitled to avail of the service facilities as already made use of by them. Jay Pee Greens is directed to allow them to avail of the said facilities at the price already paid to the earlier lessee, Messrs Sterling Holiday Resorts (India) Limited.'' "In case on Inquiry it is found that Jay Pee Greens is entitled to recover additional fees as raised, the applicants would pay the said amounts with simple interest of 6 per cent from the date they are allowed to play till the amounts are paid by them,'' the Commission stated.

These members had approached the Commission through counsel, Shyam Moorjani, submitting that on the change of the lessee, the new one had demanded from them extra money as enhanced fees with threats to cancel their membership on their failure to meet the increased fees. The facts of the case is that the Greater Noida Industrial Development Authority had invited tenders for setting up an international standard 18-hole golf course on a 220-acre plot and an international standard integrated sports complex on an adjoining plot of 215 acres there.

Messrs Sterling Holiday won the tenders for developing the both facilities. Later, it offered membership for the both facilities proposed to be developed at fees ranging from Rs. 1.25 lakhs to Rs. 4.5 lakhs. However, it could not complete the two projects. The Authority terminated its lease. Thereafter, the ICICI Limited, a prime lender to Messrs Sterling Holiday Resorts (India) Limited, brought Jay Pee Greens into the picture.

On execution of the lease in its favour by the Authority, Jay Pee Greens said that it had no obligations to the former members of the Club. It offered membership of the Club and for various other facilities at enhanced fees.

The affected members then challenged this decision of the Jay Pee Greens in the MRTPC seeking, among other relief, a stay on the operation of the decision. The Commission granted their plea. However, the matter is still pending in the Commission for the final verdict.

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