IN THE HIGH COURT OF KERALA AT ERNAKULAM
WP(C).No. 36085 of 2008(U)
1. M/S.HOTEL APSARA, CHALAKKUDY,
... Petitioner
Vs
1. THE EXCISE COMMISSIONER,
... Respondent
2. THE ASST. EXCISE COMMISSIONER,
3. THE CIRCLE INSPECTOR OF EXCISE,
4. THE EXCISE INSPECTOR, CHALAKKUDY,
For Petitioner :SRI.M.G.KARTHIKEYAN
For Respondent : No Appearance
The Hon'ble MR. Justice S.SIRI JAGAN
Dated :18/12/2008
O R D E R
S. Siri Jagan, J.
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W. P (C) No. 36085 of 2008
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Dated this, the 18th December, 2008.
J U D G M E N T
The petitioner is a firm which was holding a FL 3 licence. The
licence was issued in the joint names of two managing partners, one
of whom died on 9-10-2006. But the petitioner firm was permitted to
conduct the licence up to 31-3-2007. However, the licence was not
renewed from 1-4-2007. At that time the petitioner had considerable
stock of liquor. They could not sell it within 30 days from the date of
expiry of the period of licence or within a further period of 30 days as
prescribed in the Rules. Thereafter, the 3rd respondent conducted
auction of the stock of liquor twice. On both occasions, there were no
bidders. In the above circumstances the petitioner submitted Ext. P3
petition seeking the following reliefs:
“1. To permit us to sell the stock of the liquor in our hotel,
hotel Apsara, TSR No. 63 conducted upto 31.3.2007 to a similar
licensee, namely, Stanly Antony, S/o. Late A.P. Antony, TSR No.
51/2008-09, Hotel Rachana, Varantharappally, Thrissur District
at the earliest; or
2. To sell the liquor to Sri. Stanley Antony, S/o. Late A.P.
Antony, TSR.No.51/2008-09, Hotel Rachana, Varantharappally,
Thrissur District, 20% below the price fixed by the godown at the
K.S.B.C at Thrissur and allow us to receive the sale proceeds
after deducting the expenses, if any, for the same.”
Since no orders have been passed on Ext. P3, the petitioner has filed
this writ petition seeking the very same relief as in Ext. P3 with an
added prayer for a direction to dispose of Ext. P3.
2. This is stoutly opposed by the learned Government Pleader.
He points out that under Rule 33 of the Foreign Liquor Rules, the
petitioner cannot sell the balance stock of liquor. The officer-in-
charge of the division is the only person authorised to sell the liquor
in public auction. The petitioner submits that he has no objection in
W.P.C. No. 36085/2008. -: 2 :-
the officer-in-charge of the division selling the liquor. But, unless the
price fixed is the godown price of the Kerala State Beverages
Corporation, no licensee would purchase the same in so far as they
would not get any profit out of it even otherwise they could get the
same liquor from the godown of the Beverages Corporation at the
godown price of the Corporation. Learned Government Pleader would
submit that under the Government Order applicable the price of the
liquor cannot be reduced except with prior permission from the
Government.
3. Notwithstanding the objection raised by the learned
Government Pleader, I am of opinion that in view of the inability of the
officer-in-charge of the division himself to sell the liquor in public
auction for the price fixed by him, it is obvious that there would not be
any bidders even if it is again put in auction for that price. That
being so, an amicable solution has to be found out. I find
considerable force in the contention raised by the petitioner that
unless the price is reduced to at least that of the godown price of the
Kerala State Beverages Corporation, there is no likelyhood of any
bidders taking part in the auction. In the above circumstances, I
dispose of this writ petition with the following directions:
The Officer-in-charge of the division shall fix a public auction for the
liquor in question on 12-1-2009. On that date, the petitioner, if he
so wishes, may bring any licensee who is eligible and willing to take
part in the public auction and the officer-in-charge of the division shall
conduct the auction and if there are bidders, sell the liquor to the
highest bidder for a price not lower than the godown price of the
Kerala State Beverages Corporation.
S. Siri Jagan, Judge.
Tds/