In yet another setback to the Jagan Mohan Reddy government in Andhra Pradesh, the state high court on Friday ordered restoration of the Fusion Foods restaurant at Siripuram junction in the heart of Visakhapatnam city.
In November last year, the Visakhapatnam Metropolitan Region Development Authority (VMRDA) pulled down the Fusion Foods restaurant stating that it was an illegal structure and the promoter had violated the licence conditions.
A division bench of the state high court, which heard arguments from both the sides, upheld the judgement of the single judge bench which said the removal of the restaurant was illegal.
It dismissed the appeal made by the state government and ordered that the Fusion Foods management be given possession of the premises within a week.
Fusion Foods is promoted by T. Harshavardhan Prasad, a close friend of Visakhapatnam West legislator P.V.G.R. Naidu.
He came into limelight when one of its employees, J Srinivas Rao, attacked chief minister Y S Jagan Mohan Reddy at the Visakhapatnam international airport with a knife.
The NIA questioned Harshavardhan and the airport authorities later closed his restaurant in the airport premises.
Harshavardhan obtained a lease of the premises owned by VMRDA (formerly VUDA) for 10 years in 2004. After expiry of the lease in 2014, he applied for a 10-year extension.
When the VUDA refused to oblige, Harshavardhan went to the high court and got directions to the state government. The VUDA issued extension orders till 2024.
But the VMRDA in its notice dated November 14 stated that the lease violated rules which say that lease period could be given for only three years and not beyond unless the state government specifically permits it.
The notice cited that there was no government permission for a nine-year lease and rent was far below the specified norms.
Citing these reasons, the commissioner of VMRDA asked the estate officer to take over the premises.
