Oyo Rooms Is Running Illegal Operations In Shimla 

Tourism Industry Stakeholders’ Association, which is a lobby of hoteliers in Shimla has alleged that Oyo Rooms is running their operations in flats and houses, without Govt. permit. 

Hence, Oyo Rooms is breaking Indians laws.

As per Mohinder Seth, who is the President of Tourism Industry Stakeholders’ Association, Oyo Rooms hasn’t taken any permission from Himachal Pradesh Tourism Department for running hotel, homestay or travel agency.

As per Tourism Ac, 2002, such permission is necessary for running such hotel, homestay or travel agency. During the lean season, hoteliers in Shimla cannot afford to provide more than 50% discount for tourists.

But Oyo Rooms, which is  world's largest chain right now, is flexing its muscles, and providing deep discounts of more than 50% to their users right now.Oyo Founder Ritesh Agarwal,  the youngest self-made billionaire in India right now can afford to infuse massive capital in small and vulnerable hotel industry in Shimla, and this is negatively impacting the ecosystem.

Sanjay Sood, president of the Shimla Hotel and Restaurant Association said, “Incidents of illegal accommodations being run by OYO have come to our notice and we have told the hotels not to tie up with OYO,"

Area manager of OYO, Shimla has refused to comment on these allegations.