Telangana High Court
S. Mahender Raju, Hyderabad vs Secretary, Excise Dept., Hyderabad 3 ... on 7 January, 2022
Author: Satish Chandra Sharma
Bench: Satish Chandra Sharma, N.Tukaramji
THE HON'BLE THE CHIEF JUSTICE SATISH CHANDRA SHARMA
AND
THE HON'BLE SRI JUSTICE N. TUKARAMJI
WRIT PETITION (PIL) No.64 OF 2017
ORDER:(Per the Hon'ble the Chief Justice Satish Chandra Sharma) The petitioner before this Court has filed the present petition by way of Public Interest Litigation challenging the legality and validity of the Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2012 (hereafter referred to as 'the Rules, 2012') issued under G.O.Ms.No.391, dated 18.06.2012.
The petitioner's contention is that the sale of liquor in the State of Telangana is governed under the statutory provisions as contained in Telangana Excise Act, 1968 and the Rules framed under the aforesaid Act permit for grant of licence for sale of alcoholic beverages. Rules 25 and 26 of the Rules, 2012 provide for grant of licence for permit rooms to be attached to the shop premises and alcoholic beverages are sold and consumed in such permit rooms. It has been stated that there are no conditions or stipulations regulating the sale or consumption of alcoholic beverages in these permit rooms and as many as 1000 licences have been granted by the respondents, the rooms attached to such shops are creating nuisance in the localities where the shops are located and therefore, the petitioner prayed for the following relief:-
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"It is therefore prayed that this Hon'ble Court may be pleased to issue a Writ, Order or Direction more particularly one in the nature of Writ of Mandamus declare the Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2012, and more specifically, Rules 25 and 26 as illegal, arbitrary and in violation of Articles 14 and 21 of the Constitution of India and consequently set aside the same and prohibit the consumption of alcohol in the permit rooms, as permitted by the Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2012 and pass such other order or orders may deem fit and proper in the circumstances of the case."
The petitioner has raised various grounds before this Court and the main thrust of the argument of the petitioner is that the persons, who have purchased the liquor, are consuming the liquor outside the permit rooms and are creating law and order problem in the residential areas causing immense difficulties to the women, children and elderly people who are passing through these areas and they are subjected to harassment and therefore, as consuming alcoholic beverages in the permit rooms has created hazardous situations, the same deserves to be curbed forthwith.
A detailed and exhaustive counter affidavit has been filed by the respondents/State stating that Rules 25 and 26 of the Rules, 2012 read with statutory provisions as contained in Telangana Excise Act, 1968 permit grant of 3 licences to retail shops and the retail shops are not allowed to sell liquor in loose and consumption is not allowed in the premises. Such licences are known as 'Off' licences. There is another category of licences called 'Bar Licences' which are granted as per the Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2005. It has been further stated that as many as 2144 retail licences have been granted by the State and there has been heavy rush in front of the retail outsets causing hindrance in the free flow of traffic in the residential locality and the issue was brought to the notice of this Court in W.P.No.4498 of 2013. Guidelines were framed keeping in view the order passed in W.P.No.4498 of 2013. It was decided to allow/permit the retail outlet to provide place adjacent to the retail shops in the form of 'Permit Room'. The Rules were amended and under Rules 25 and 26 of the Rules, 2012, permit room licences are granted. It has been further stated that there are checks and balances to ensure that alcohol is not consumed in the streets or in public places and the provision of permit rooms has been made only to avoid nuisance and inconvenience being noticed by the residents and adjacent establishments. The provision was made to overcome the problems and sufferings of the people and the community at large. They are being regularly inspected and 4 checked and the petitioner has not been able to point out violation of any statutory provision of law.
This Court has carefully gone through the writ petition as well as the counter affidavit filed by the respondents/State and the fact remains that the statutory provisions do permit for grant of licence to retail outlets along with permit room. The State Government has provided a complete mechanism to check the activities of such permit rooms and in fact, the retails shops without permit rooms are causing lot of inconvenience to the residents of the locality and in order to overcome the nuisance and inconvenience, the permit room facility has been provided under the statutory provisions. It has also been brought to the notice of this Court that bar licences are not granted in residential areas nor retail shops are being established in residential areas and they are established on the roadside along with the commercial establishments.
The petitioner has not brought to the notice of this Court the location of any shop in any residential area and this Court cannot conduct a roving enquiry in respect of all the shops in the State of Telangana. However, in case the licence has been granted in any residential area causing inconvenience to the public, the same can be brought to the notice of this Court by filing a writ petition. Insofar as the 5 establishment of shop along with permit room is concerned, statutory provisions do provide for such a provision and it is purely a policy decision of the State Government. It is a well settled proposition of law that unless and until a statutory provision infringes the constitutional rights guaranteed to a citizen, it cannot be struck down.
In the present case, no arbitrariness or no illegality has been brought to the notice of this Court insofar as statutory provisions are concerned and the State Government was well within its power to frame the statutory provisions governing the field which provides for establishment of permit room. The Excise Act read with the Rules, 2012 provide for certain checks and balances and therefore, the State Government shall carry out Audit in respect of all the liquor shops to ensure that the shops are established keeping in view the statutory provisions as contained in the Rules and the State Government shall also ensure that no shop is established in a residential locality along with permit room, near hospital, near religious institution or near school as well as other prohibited places as provided under the Rules. In case, there is a violation of the Excise Act and the Rules framed under the aforesaid Act, the State Government shall close down the shops forthwith after conducting Audit in respect of all shops in the State of Telangana. The exercise of conducting 6 Audit in respect of all shops in respect of the location be concluded within a period of two months from today and a Compliance Report be submitted to the Registrar General of this Court.
This Court does not find any reason to declare the Rules 25 and 26 of the Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2012 as illegal, arbitrary and violation of Articles 14 and 21 of the Constitution of India. The State Government shall ensure that consumption of liquor does not take place outside the permit rooms or outside the bar which causes inconvenience to public at large. The State Government is directed to strictly follow the statutory provisions as contained in the Excise Act and the Telangana Excise (Grant of License of Selling by Shop and Conditions of Licence) Rules, 2012.
The Public Interest Litigation is accordingly disposed of. Miscellaneous petitions, if any pending, shall stand closed. There shall be no order as to costs.
_____________________________ SATISH CHANDRA SHARMA, CJ ________________ N.TUKARAMJI, J 07.01.2022 Pln