Kolkata: KMC should have heard out New Market’s Hotel Emirates before ordering its closure on Aug 31, Calcutta High Court observed, setting aside KMC order suspending the hotel’s trade licence, calling it “colourable exercise of power and violative of principles of natural justice and fair play.”The hotel was among nearly 1,000 hotels, guest houses, lodges and restaurants that were shut down during a crackdown that followed a fire in Florence Mansions at Free School Street on Aug 19, where nine people died in a guesthouse situated on the second floor of the building.KMC order was issued after an inspection was conducted by a joint team at 11/1 Dr Md Ishaque Road on Aug 31. KMC counsel submitted that the inspection revealed that Nvent Realty Pvt Ltd, which operates the hotel, was conducting business from the building without any permission from the municipal authorities. It was also claimed that they could not disclose the sanctioned building plan at the time of inspection.Biswaroop Bhattacharya, representing Nvent Realty Pvt Ltd, told TOI: “The nature of the order is such that it can create a precedent for similarly situated establishments.”Nvent Realty Pvt Ltd had moved the single bench of Justice Raja Basu Chowdhury challenging suspension of the trade licence. They claimed that the certificate of enlistment was valid and subsisting on the date that KMC passed the closure order. They also claimed that the company had all requisite licences for running the business.Justice Raja Basu Chowdhury held: “I find that the petitioners have disclosed that they hold a valid certificate of enlistment, which has been issued for carrying out business of boarding house with food without bar. Such licence is valid till March 31, 2027. Having regard to the aforesaid, I am of the view: the business premises could not have been shut down on the ground of non-renewal of certificate of enlistment under Section 199 of the said Act.” The single judge further held that KMC should have “given reasonable opportunity of hearing” to them to show cause why such an order shall not be made.A senior advocate for the State submitted that there was no valid police licence. But the single judge found that there was no indication in KMC order regarding the violation or failure to obtain police licences. “There is no show-cause in this regard. This apart, though the inspection was said to be carried out, the report of the ‘Joutha Team’ has not been disclosed to the petitioners at any prior point of time. The order dated Aug 31, 2026 appears to have been issued in colourable exercise of power. The order is violative of principles of natural justice and fair play,” the judge held.
