Section 8 in Andhra Pradesh Distillery (Manufacture of Spirits) Rules, 2006
8. Procedure For Obtaining Sanction Of The Government.
(1)No Letter of Intent, to construct and work of a new distillery or expansion of production capacity of an existing distillery for manufacture of spirits for industrial purpose wholly or partly, shall be granted unless the applicant obtains a sanction or permission from the Government of India as specified in sub-rule (3) of Rule 4, and submit an application in Form-D1(R) to the Government.(2)No application for grant of such Letter of Intent by the Government shall be entertained unless a non-refundable and non-adjustable special fee of Rs.20 Lakhs (Rupees twenty lakhs only) is paid into Government treasury and the challan in original in support of such payment is produced along with the application:Provided that in case distilleries intend to produce spirits exclusively for industrial purpose, the special fee shall be Rs. 5 Lakhs (Rupees Five lakhs only).(3)When the government are satisfied of the proposed scheme they may accord sanction and communicate it in the form of Letter of Intent in form D1 (SR). This Letter of Intent shall be valid for a period of two years from the date of issue.(4)The holder of Letter of Intent shall obtain a licence in Form D2-(RM) or D2-(RG) of D2-(RMGO) as the case may be, from the Commissioner within six months from the date of issue of Letter of Intent.(5)If the holder of the Letter of Intent fails to obtain a licence within a period of Six months from the date of issue of Letter of Intent, he ceases to have any right to claim on the letter of intent.(6)If the holder of the letter of intent and licence fails to commence production within two years from the date of issue of the Letter of Intent, he forfeits his right over letter of intent and on the licence.
