After remaining idle for almost a decade, the Viewpoint Resort in Trongsa has now fallen into near disrepair. The privately-owned resort built at a cost of nearly Nu 300 M was abandoned following a fraudulent land transaction case in 2015. To recover the loan against the property, the Bank of Bhutan has now announced that the resort will be auctioned on Friday.
Constructed as a three-star luxury resort located opposite Trongsa Dzong, overlooking the east–west highway, the property attracted visitors with its stunning location and operated for a few years.
However, today it has deteriorated into a ghostly ruin, with collapsing ceilings, broken doors and windows, stripped rooftops, and debris-filled rooms where stray cattle now shelter. The property comprises over 10 two to three-storey structures. Its grounds are now overgrown with dense vegetation, with nearly impassable access roads and footpaths.
The property owes the Bank of Bhutan an outstanding amount of over Nu 246 M. Following the conclusion of the civil case appealed by the bank in January 2023, an auction was held in February last year. However, the response was limited, with few inquiries received and many potential buyers expressing skepticism about the land.
BoB told BBS that the finance ministry, in consultation with the National Land Commission, agreed to provide a land lease of up to 35 years. The bank also proposed a land exchange, offering to swap the Trongsa property for land in Thimphu, but the plan did not materialise.
The bank announced the second auction for the property earlier this month which is scheduled for Friday.
The price of the property will be determined according to the Royal Monetary Authority’s Guidelines on Auction of Seized Properties 2023.
Despite these efforts, bank officials indicate that the auction of the deteriorated property is unlikely to recover the full outstanding loan.
The ACC issued a freeze notice in 2015 as it was found that the nearly five-acre land on which it was built was acquired illegally.
In 2022, the Supreme Court convicted six individuals in connection with the fraudulent land transaction, including former Trongsa Dzongda Lhab Dorji, his wife who acquired the land, a former Drangpon, a former Gup, and a former land surveyor. They were sentenced to prison terms ranging from 18 months to six years on charges of forgery, misconduct, solicitation, deception, and witness tampering.
Oversights in management leaving a significant investment tied up in a long-abandoned property raises questions about who should be held accountable for the losses.
Changa Dorji & Kinzang Lhadon
Edited by Phub Gyem
