Challenges to new Excise policy mount at least seven filed so far

  • | Thursday | 5th August, 2021

The most recent plea to be filed in this respect has been the one by the Delhi Liquor Traders' Association, which claims to represent 143 licenced liquor vends. It had said the policy would minimise corruption and provide fair competition in liquor trade and that all apprehensions against it were only fanciful. Delhi Liquor Traders Association argued that the policy is "bringing back the zamindari system"; whereas the Delhi Liquor Sales Association has called the policy "self-contradictory, self-destructive and a violation of the Constitution". Furthermore, one Readymade Plaza India Pvt Ltd, a retail liquor vendor, has also challenged the policy, seeking a stay on it. The AAP government has been asked to respond to almost all of the challenges to the policy.

new delhi: Ever since the Delhi government announced its new Excise Policy publicly in the beginning of July, challenges to various provisions of the policy have mounted, with at least seven petitions filed by different liquor vendors associations and employees unions, against the policy in the Delhi High Court. The most recent plea to be filed in this respect has been the one by the Delhi Liquor Traders Association, which claims to represent 143 licenced liquor vends. While a bench of Chief Justice DN Patel and Justice Jyoti Singh issued notice in the matter and asked the Delhi government to respond to the challenge, it posted the matter next on August 9. Significantly, soon after announcing the policy — aimed at expanding state excise duty revenue, simplifying the liquor pricing mechanism, avoiding malpractice in liquor trade, and transforming the nature of the liquor trade in the NCR region — the Delhi government had anticipated backlash. It had said the policy would minimise corruption and provide fair competition in liquor trade and that all apprehensions against it were only fanciful. The AAP government had said that there was full-scale assault on it on the issue and that a reply would be filed to make its stand clear. Delhi Liquor Traders Association argued that the policy is "bringing back the zamindari system"; whereas the Delhi Liquor Sales Association has called the policy "self-contradictory, self-destructive and a violation of the Constitution". Interestingly, the high court in the case of DLTA, also issued notices to the Centre and the L-Gs office for a response. Furthermore, one Readymade Plaza India Pvt Ltd, a retail liquor vendor, has also challenged the policy, seeking a stay on it. While the HC refused the stay, it asked the Delhi government to respond to the concerns raised in the plea. Along with this, a petition challenging the terms and conditions of the e-tenders in the new policy was filed by Robin Chaudhary on behalf of retail liquor sellers. The petition argued that the Delhi Governments criteria for the grant of licences of retail bends of liquor through electronic bids is "half-baked". Another petitioner has approached the court with a concern about e-tenders, asking for an e-tender notice to be quashed. Moreover, there are petitioners who have challenged the reduction in drinking age in the city and the transfer of all liquor vends in the city to the private sector. The AAP government has been asked to respond to almost all of the challenges to the policy.

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