UNION OF INDIA Vs. JOSE DOMINIC MANAGING DIRECTOR

JUDGEMENT

(1.) Bangaram Island, one among the group of 36 Islands constituting the Union Territory of Lakshadweep (UT), was lying unattended for a long time. It is now a well developed high value tourism centre. It has a wonderful beach, luscious coconut groves and is rich in blue lagoons, coral reefs and marine wealth. As on date, it is stated as one of the most attractive tourist spots for high profile tourists.

(2.) The UT Administration took over the lands of the inhabitants in 1973. Initially the Hotel Corporation of India set up a small resort to cater to the needs of the tourists. Later, it was taken over by ITDC, which developed a few facilities in the Island. However, they failed to work in the way and manner in which the development was planned. Further efforts also did not yield any result. For want of professional approach to tourism, the Island suffered and therefore it was decided to hand over the development of the resort to professionally qualified persons so as to develop it into an attractive and lucrative Island Resort. In 1982, Society for Promotion of Recreational Tourism and Sports (SPORTS), a society registered under the Societies Registration Act came into existence. The Chairman of the Society is the Administrator of the Union Territory, Collector cum Commissioner is the Vice Chairman etc. The Society has a general body and a Board of Management (hereinafter referred to as BOM) to govern and manage its affairs. The Island Development Authority indicated that SPORTS should be the supportive agency for development of tourism. It was recommended that SPORTS expand its activities and fields of action. Soon thereafter SPORTS began to act as an agency of the Tourism Department, taking over the management of tourism in the Island. That was in the year 1982. Though SPORTS took earnest efforts to develop tourism, it too failed to achieve it on an international level. SPORTS too suffered for want of professionals to develop the Island and make it an attractive resort for the foreigners.

(3.) Then it was decided to hand over Bangaram Island Resort (hereinafter referred to as BIR) to private entrepreneurs, who are well versed, well experienced and well equipped in the field of tourism. That resulted in going for global tenders in the year 1988. M/s.Hotel and Allied Trades Private Limited (hereinafter referred to as M/s.Casino) who is the first respondent in the writ appeals and the petitioner in the corresponding writ petitions, bid in the auction and turned out to be the successful bidder. The concern offered to run the resort for a proposed period of 25 years, i.e., till 2013.