High Court Kerala High Court

M/S.Hotel Apsara vs The Excise Commissioner on 18 December, 2008

Kerala High Court
M/S.Hotel Apsara vs The Excise Commissioner on 18 December, 2008
       

  

  

 
 
  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.
                =-=-=-=-=-=-=-=--=-=-=-=-=-=-=-=-=-=
                        W. P (C) No. 36085 of 2008
                =-=-=-=-=-=-=-=-=--=-=-=-=-=-=-=-=-=
                 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/