J&K Lieutenant Governor Manoj Sinha on Monday (July 27, 2026) ticked off local hoteliers and said “90% of 5000 hotels in Kashmir were illegal” and named prominent hotelier Mushtaq Ahmad Chaya, who got a notice by the Enforcement Directorate (ED) under the Prevention of Money Laundering Act (PMLA) in June this year.
“During the last six years, 5,000 hotels were constructed, 90% of them illegal, including that of Mushtaq Chaya. The fact, however, remains that it generated an investment of more than 80,000-1 lakh crore. Around 90% of locals invested in these projects and 10% (from outside) by those who are into the tour and travel business,” Mr. Sinha said.
The J&K L-G was speaking at a conference “Ethical approach towards tourism” organised by the Tourist Trade Interest Guild (TTIG) at Srinagar’s Sher-i-Kashmir International Convention Centre (SKICC).
Mr. Chaya, who was among the nine leading hoteliers to receive an ED summons in June, was also present in the audience when Mr. Sinha pointed out his name. “Mr. Chaya’s hotel must be around ₹100 crores,” he added.
He said the hoteliers who are “the biggest encroachers raise the problem of encroachment in Kashmir. “The encroachers are the first to complain about encroachment and seek measures to end it,” said Mr. Sinha.
Kashmir revival: On the path of tourism
Terming local tourism players as “peace stakeholders in Kashmir”, the J&K L-G said, “The base of peace stakeholders was expanding in Kashmir, with shikara owners, craftsmen and other stakeholders’ numbers increasing [with each passing day].”
Underlining the need for “development with responsibility”, Mr. Sinha also flagged the issue of overpricing by Kashmir hotels. “Charging ₹10,000 up to ₹25,000 was forcing tourists to lessen their tours to Kashmir. The taxi charges in Srinagar have also brought a bad name to the trade. Such things have dented Kashmir’s image.”
He said the growing footfall was not the only parameter to gauge the success of tourism in Kashmir. “Profit should not be limited to a few big-ticket hotels in Kashmir like Chaya. It should percolate to the community, like homestay owners in Gurez and craftsmen of Pulwama,” said Mr. Sinha.
Stating that ethics cannot be imbibed through measures like bans and fines, Mr. Sinha called turning the conservation of Kashmir’s fragile ecology a social movement. “The entire society is a stakeholder in it,” he added.
He also urged the tourists to ensure that precautions were taken in a way that prospective tourists also get mesmerised by Kashmir’s natural beauty. “All have to join hands to ensure that tourism sustains for a longer period. It’s out ‘dharma’ to preserve Kashmir,” said Mr. Sinha.
Meanwhile, Mr. Sinha praised the organisers for the conclave and described it as a significant step in redefining tourism as a moral responsibility for the tourism stakeholders”.
“Tourism in J&K must be seen as a celebration of this heritage, and ethical tourism must be the guiding principle for its future. Tourist arrivals have reached record levels, confidence among domestic and international travellers has been restored, investments have increased, and employment opportunities have expanded,” said Mr. Sinha.
Calling for responsible tourism, Mr. Sinha said, “We must ensure that every visitor departs with cherished memories while natural resources should also thrive. Heightened sensitivity towards forests, lakes, and rivers is needed. Development must proceed in balance with conservation.
He said profits should not remain confined to large enterprises. “Tourism must provide dignified incomes, training, and opportunities to all stakeholders to ensure sustainability. Together, let us ensure that prosperity reaches the last village, the last family, and the last citizen in the queue,” he added.
The Lieutenant Governor urged all stakeholders to translate discussions at the conclave into concrete action plans with clear goals, timelines, and evaluation mechanisms.
Published – July 28, 2026 12:45 am IST
