Delhi High Court orders OYO to list all unencumbered properties
New Delhi: Oyo Hotels and Homes has been ordered by Delhi High Court to mention the details of all unencumbered assets like hotels and properties that are absolutely free of debt.
The order came on the plea of hospitality company Anam Datsec Pvt Ltd which has sought and Rs 8 crore damages from OYO claiming non-payment of its dues. OYO has been asked to submit the details of unencumbered properties within two weeks.
Anam Datstec has a hotel chain ‘The Golden Hotels’ in Goa. Golden Hotels said in its petition that Oyo had signed an agreement for minimum business guarantee deal with itself in 2018. OYO has not paid monthly dues of about Rs 14 lakh, said the Golden Hotels in its petition.
OYO has been ordered to give complete details like properties and hotels that are not only free of debt but also mention shareholding pattern and status and their valuations.
OYO has been defaulting in payments to the hotels owners for some time now. The startup has also asked the partner hotels to choose revenue-share model. The company had initially signed minimum business guarantee deals with the hotels in which OYO was supposed to give a fixed amount to the hotels, regardless of the business garnered.