Committee to be appointed to probe Grand Hyatt Hotel project
A committee will be appointed to assess the financial loss suffered by the government due to the Grand Hyatt Hotel Project.
The hotel was scheduled to be opened in the first quarter of 2016 after completion of construction work. However, most of the agreements signed by the previous Government had been terminated by the new board of directors of Sino Lanka (Pvt) Ltd and the company had been entered into agreements with new contractors for the aforementioned project.
Therefore, several companies initiated legal proceedings and Sino Lanka (Pvt) Ltd had been ordered to pay approximately Rs 1.8 billion as compensation.
The project,which was originally planned to be completed at an estimated cost of Rs 30 billion Rupees, is reestimated to be around Rs 60 billion Rupees.
Prime Minister and Finance Minister Mahinda Rajapaksa presented a proposal to the Cabinet in this connection.