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Published : Jul 15, 2021, 9:05 PM IST

ETV Bharat / state

New Excise Policy will minimize corruption, provide fair competition: Delhi govt tells HC

Delhi government told Delhi High Court that its new Excise Policy 2021-22 aims at minimizing corruption and providing fair competition in the liquor trade and that all apprehensions against it were only fanciful. The AAP government also said that there was a full-scale assault on it on teh issue and that a reply would be filed to make its stand clear.

Delhi govt tells HC
Delhi govt tells HC

New Delhi: Delhi government Thursday told Delhi High Court that its new Excise Policy 2021-22 aims at minimizing corruption and providing fair competition in the liquor trade and that all apprehensions against it were only fanciful. The AAP government also said that there was a full-scale assault on it on teh issue and that a reply would be filed to make its stand clear.

Several petitions have been filed challenging the new Excise Policy before the high court which had earlier refused to pass any stay order. When teh fresh pleas came up for hearing on Thursday, a bench of Chief Justice DN Patel and Justice Jyoti Singh issued notice and sought reply from the Delhi government and Central government. It did not pass any order on staying the policy or extending teh July 20 deadline for applying for tender under teh policy.

When one of the councils opposing the policy submitted that in the new policy which divides Delhi into 32 zones, only 16 players could be permitted in the market and would lead to monopoly, the bench said such control was for public welfare and not for those in the liquor business. “Control is for public welfare and not for you to run your business. It is for public at large. It is not meant for you to run you're business or put you in difficulty,” the bench said.

Senior advocate Abhishek Manu Singhvi, representing the Delhi government, submitted that “there is a full-scale assault on us. I will put in a reply. The policy minimises corruption, gives fair competition.' Since the court heard the first challenge to the policy on July 12, eight petitions have come before different benches, Singhvi along with Delhi government standing counsel Santosh Kumar Tripathi said adding that petitions are by persons well-versed in the liquor business. The court was hearing a fresh challenge to the New Excise Policy by Ashiana Towers and Promoters Pvt Ltd and Rajiv Motors Pvt. Ltd, which alleged that it is illegal, unfair, arbitrary and violative of the Delhi Excise Act of 2009.

Read: Plea in Delhi HC against Delhi govt's new Excise Policy, 2021

Counsel Sanyam Khetarpal, appearing for two companies, said '32 zones would lead to 16 players in the market. Where would the others go?” The petition also seeks to quash the June 28 e-tender notice of the Delhi government, prescribing the procedure to be followed for inviting zone wise electronic bids for grant of 32 zonal licences of retail vends of liquor for the supply of Indian and foreign liquor brands in the national capital. The court also issued notice and sought a reply from the Delhi government on a petition by Anita Chaudhary, a wholesale licensee of liquor in Uttar Pradesh.

Advocate Sanchar Anand, appearing for Chaudhary, argued that policy is beyond teh rulemaking power of teh government under teh Delhi Excise Act and violates Article 14 of teh Constitution of India. He said his client challenges the eligibility criteria of having at least five years' experience for applying for an L-1 wholesale liquor license under the policy.

Read: HC refers plea challenging Delhi’s new Excise Policy to bench already hearing another petition

“Wholesale, trade-in liquor is actually very simple and does not requires any special technical knowledge or skill, much less 5 years experience.. no other State in India except teh State of Delhi insists for 5 years prior experience for a wholesale liquor licence.”, teh petition said. While teh petition by teh companies would be heard on August 9, Chaudhary's petition would be heard next on August 27.

On Monday, the bench had refused to stay the new Excise Policy and issued notice to the Delhi government on the petition by Readymade Plaza India Pvt Ltd, a group of retail liquor vendors. Senior advocate Mukul Rohatgi, representing Readymade Plaza, had said by the new Excise Policy, Delhi will be divided into 32 zones and a person can bid for two zones and the policy will lead to complete monopoly of the few big players.

Read: Delhi govt's new excise policy allows bars to operate till 3 am

(PTI)

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