JAWAHAR LAL JAISWAL Vs. STATE OF UTTAR PRADESH

JUDGEMENT

(1.) Two principal questions of law require consideration by this Full Bench. The first is whether the restriction imposed by the Excise Commissioner that all excise shops shall, with effect from December 20, 1980, remain closed on Friday also, will apply to the pre-existing licensees of excise shops. The second question is whether the variation of the strength of liquor is valid.

(2.) We shall take up the question of Friday closure first. The wholesale and retail sale of liquor and other excisable articles is generally permitted by auctioning shops of various places to the highest bidder. This is an auction system of sale of excise shops.

(3.) Previously, according to paragraphs 351 and 352 of the U. P. Excise Manual, the excise shops could ,be kept open till 10 P. M. On September 18, 1977, notifications were issued amending these rules and directing that the licensees of excise shops shall keep their shops open till 8 P. M. only. Thus, the business hours were reduced by two hours. The licensees of a large number of excise shops challenged these notifications by filing writ petitions. Those writ petitions came up for hearing before a Division Bench whose judgment is reported in G. C. Jaiswal v. Excise Commissioner U. P. 1978 All LJ 802. The Bench held that the power to place restrictions and conditions subject to which license may be granted fell within the purview of Section 41 (c) (v) of the U. P. Excise Act (No. IV of 1910). Such restrictions and conditions could only be placed on licenses which may be granted thereafter. They will not be applicable to licenses already issued. Hence, the amending notification reducing the business hours of excise shops by two hours, was not applicable to existing licenses. The writ petitions were accordingly allowed and the authorities were directed not to enforce the notification dated September 18, 1977 on the existing licensees.