COVID-19: Dharamshala hotels served with take over notices by bank after non-payment of dues

Dharamshala (Himachal Pradesh) [India], September 10 (ANI): Seventeen hotels have been served take over notices by a nationalised bank in Himachal Pradesh's Dharamshala as a result of non-payment of loans amid strain on the sector due to the ongoing COVID-19 pandemic.
Speaking to ANI President of Hotel Association in Dharamshala Ashwani Bamba stated that the sector was badly hit amid COVID-19 and several hoteliers couldn't repay their loans.
"There was no business during lockdown due to pandemic. There is a lack of support from the government. We again appeal to the state government to have a dialogue with the Centre and offer us some relief. As of now, only one bank has served takeover notices but we are afraid that more banks may take similar action now," Bamba added.
Another hotelier in Dharamshala Vivek Mahajan pointed out that the industry has been facing a tough situation over the past two years due to Covid pandemic.
"The repeated lockdowns and restrictions imposed on the entry of tourists made things worse. Government should help us and stop the banks from taking extreme steps," he said.
However, the Himachal Pradesh government stated that during the pandemic the state gave 50 per cent relaxation on the interest of the loan amount to the industry.
District tourism officer Prithi Paul Singh stated "During the pandemic Himachal government decided to give 50 per cent relaxation on the interest of the loan amount. We received 25 applications for this relaxation out of which 7 cases have been approved and the rest are under process."
"As far as the bank's takeover notices are concerned we are collecting the information and sending it to the government for further necessary action," he added. (ANI)