Hyatt Regency & Resorts, the American hospitality chain, has suspended operations at Hyatt Regency Hotel, Mumbai, due to the inability to pay salaries to the staff. Dearth of funds is the reason for suspension of operations.
An official statement from the Hotel reveals that owing to the non-payment of dues by Asian Hotels — the Indian company that owns the Mumbai Hotel — it is unable to pay salaries to the staff on its rolls. The operations will be suspended until further notice.
Incidentally, Asia Hotels (West) is also the owner of JW Marriott Hotel New Delhi, Aerocity through subsidiary company Aria Hotels and Consultancy Services.
Asia Hotels (West) was initially incorporated as Chillwinds Hotels back in 2007. As on March 31 this year, the promoter and promoter group of the luxury hotel hold 70.42 per cent of the shares of the company, while the public holds 29.58 per cent. Among the individual promoters are Vinita Gupta, Madhu Jain, Renu Arun Aggarwal, Jyotsana Amal Karl, Sandeep Gupta, Sushil Kumar Gupta, Sudhir Chamanlal Gupta, Pankaj Gupta, Gunjan Jain and Sonal Sharma.
The Hotel has assured that it is looking at resolving the situation at the earliest. Until then, no future reservations will be available.
In May 2020, Hyatt Hotels Corp. had announced layoffs and had gone for major restructuring of roles across its global corporate functions. At the time, the Company had admitted that the move would impact about 1,300 employees around the world. The Company’s portfolio includes over a thousand hotels and wellness-resort properties in 68 countries across six continents.