Chandigarh, Dec. 9 -- Two weeks after demolishing unauthorised structures at Chandigarh Club, Sector 1, the UT Estate Office has decided to impose a penalty on the club for allegedly running commercial activities on encroached land for the past 15 years.

The UT administration has made it clear that the pending lease deed will only be renewed after the club pays the full recovery amount.

On November 24, the Estate Office demolished 32 illegal structures spread across nearly 70,000 square feet (about 1.6 acres) of the club premises. These included sheds, a kitchen and a banquet hall, primarily constructed by Commando Caterers Private Limited, which had been sub-leased a portion of the club property.

Deputy commissioner-cum-estate officer...