No Cancellation of liquor licence for local public sentiment: Delhi High Court

The Court has ruled on the petition challenging the location of the liquor sale if falls foul of any statutory provision or if there is any violation of any rule and regulation then the cancellation not merely on the public sentiments upon the location but on the foul of following rule and regulation of Delhi Excise Act for locating a liquor vend. 

The court is dealing with the petition by the Department of excise against the order passed by the Financial Commissioner to cancel the licence of two bandits’ restaurants for hindering the public sentiments on locating a liquor vendor. 

The counsel appearing for the petitioner department submitted that section 16 of the Delhi Excise Act, 2009 gives ample power to the competent authority to cancel a licence granted for any reason which is hampering the Delhi excise act, 2009 in any manner.  

The Court said that the financial department has to act fairly. Public opinion or sentiment is not a factor relevant under the Delhi Excise Act for locating liquor shops but the violation of law is merely a factor to cancel the licence. The Court in a ruling has said that the public opposition to a liquor shop’s location is not the sole ground for cancellation of a licence. 

According to rule 51 of the Delhi Excise Rules,2010 no retail vendor can be located within 100 metres of the major educational institution, religious places and hospitals. There is also a rule on the consumption on the premises or any premises so under rule 24 before granting a licence is required to take all reasonable steps to ascertain the opinion of persons who reside or have a property in the near liquor shop and are likely to get affected. 

The Delhi Excise Policy, 2021-2022 states that retail vendors can open the liquor shop in any the markets, malls, commercial roads or areas, local shopping complexes and other such places where the standard rule of opening a new shop is followed. 

Maintenance of the law or order is an important thing for the decision of the renewal of a licence as per the government policy. One of the conditions also states that no dry snacks or cooked foods shops get opened right outside the liquor shop as it may encourage people to drink and throw dirt on that area itself. The license shall be responsible for law and order and security around their shop because in case any of the complaints get registered by the individual due to the nuisance of the liquor shop then the licence of that vendor gets cancelled.