Some 131 families of Joshimath have been moved to relief camps.
In Uttarakhand's 'sinking' town of Joshimath, hotels and other buildings that have developed wide cracks and are on the brink of collapse will be demolished within a week, a top official said today.
Senior officer Himanshu Khurana also told NDTV that every affected family will be given Rs 1.5 lakh as immediate compensation for losing their home.
The planned demolition of two hotels and several houses was blocked yesterday by angry residents who complained that they were neither given notice nor compensated for the loss of their establishment. Hundreds protested on the streets and sat guard outside the buildings overnight in the bitter cold.
The residents also expressed worry that bulldozers would end up exacerbating the damage to neighbouring buildings.
"We were not told anything. Someone told us that your hotel will be demolished and then I came running to see bulldozers," said one hotel-owner.
Another resident demanded that the state government help relocate them to Badrinath, the holy town that draws thousands of pilgrims and big business every year.
The administration met with the residents and assured them relief.
"We are not demolishing the hotels - we will dismantle them in one week. We had a positive discussion with hotel owners," Mr Khurana told NDTV.
Massive cracks have developed in 731 houses in the hill town because of years of unplanned infrastructure development including roads and power projects. Amid fear that the cracks are widening by the day, the Uttarakhand government has ordered the demolition of the most damaged buildings.
Some 131 families have been moved to relief camps.
"We are monitoring the situation. The dismantling of the hotels will done under the supervision of CBRI (Central Building Research Institute)," said Mr Khurana.