Section 3 in The Madhya Pradesh Distillery Rules, 1995
3. Grant of Licence.-
(1)The person intending to construct and work a distillery shall submit an application to the State Government through Excise Commissioner notifying his scheme in Form D-A.(2)No application mentioned in sub-rule (1) shall be entertained unless a fee of Rupees 10,000/- (Rupees Ten Thousand only) is paid into Government treasury and the Challan in original, in support of payment, is submitted alongwith the application.(3)When the Government is satisfied of the proposed scheme of the applicant, it may accord the sanction and communicate it in the form of a "Letter of Intent" in Form D-B. The letter shall be valid for two years from the date of communication, unless especially extended, within which period the holder thereof shall complete the construction in all respects, as notified in the scheme submitted under sub-rule (1) and keep the unit ready for commissioning.(4)The letter of intent communicated under sub-rule (3) shall not confer any right or privilege for grant of a licence and is liable to be revoked and withdrawn, at any time, in public interests, after giving its holder a notice to show cause against such action and after hearing him, if he so desires.(5)No compensation for damage or loss shall be payable, when a letter of intent is revoked or withdrawn under sub-rule (4).(6)An application for approval of the plan and map of the building shall be submitted to the Excise Commissioner.(7)Every such application shall be accompanied by,-(i)Copy of the letter of intent issued by the Government;(ii)Project report of the proposed distillery with the plan and map of the distillery buildings;(iii)No objection certificate from the Department of Environment and Pollution Control Board of the Government of Madhya Pradesh;(iv)No objection certificate from the Chief Inspector of Factories under the Factories Act, 1948 (LXIII of 1948);(v)Any other certificate or information required by Excise Commissioner.(8)Where the Excise Commissioner is satisfied that the applicant has fulfilled the conditions specified in sub-rule (7), he may approve the plan and map of the project for the construction of the distillery.(9)The applicant shall report to the Excise Commissioner, the date on which the construction of the buildings and erection of the plant and machinery of the distillery are completed.(10)In case the applicant fails to construct the building and submit his completion report as contemplated in sub-rule (3), within a period of two years from the date of the grant of letter of intent, the letter of intent so granted shall be liable to cancellation without compensation for any damage and loss:Provided that, where the Excise Commissioner is satisfied that there is sufficient cause for the applicant for not constructing and completing the works as per approved plan within the period of two years, he may, for reason to be recorded in writing, recommend to the Government, for the extension of the said period of two years for such further period or periods, not exceeding one year in the aggregate, as he may deem fit.(11)[When the Excise Commissioner is satisfied that the construction of the building and erection of the plant and machinery is complete in all respect, he may, subject to prior approval of the State Government, grant a licence for manufacture of spirit in Form D-1, on a payment of annual licence fee of [Rs. 5 lac] for a period of five years. The licence shall be renewed every year subject to due observance of the provisions of the Act, and rules made thereunder and conditions of the licence].(12)The licensee will have to furnish, whenever required, security for due observance of the provisions of Excise Act & Rules and orders made thereunder by Excise Commissioner from time to time.(13)The licensee shall not hypothecate, sell, mortgage, transfer or sub-lease the licence granted in Form D-1 or enter into any partnership for the working of the said licence without the previous permission in writing of the Excise Commissioner. Such permission, if granted, shall be endorsed on the licence.
