RK DISTILLERIES Vs. COMMISSIONER OF EXCISE

JUDGEMENT

(1.) This petition is for issue of a writ of Mandamus directing the Commissioner of Excise, Government of Andhra Pradesh, Hyderabad to issue to the petitioner the necessary quantities of rectified spirit from time to time and to renew the licence in accordance with law in time.

(2.) The averments in the affidavit filed in support of the writ petition may be summarised. The petitioner is carrying on business of manufacture of Indian made liquors viz., brandy, whisky, Gin and wines under licence in form D-2 granted under the A.P. Distillery Rules 1970. The Commissioner of Excise inspected the Distillery on 20-6-1981 and issued a notice dated 27-6-81 pointing out the following defects:

(3.) The counter-affidavit is filed by the Joint Director of Distilleries and Breweries It is stated that the proposal for renewal for the year 1981-82 is under examination with reference to thedeftcts pointed out by the Commissioner of Excise during bis personal inspection of the Distillery on 20-6-1981. Apart from the defcects pointed out in the notice dated 27-6-1981 the lapses like time gap between the remittance of the excise duty for release of the liquor and the dates of actual release of liquor have been mentioned and others were pointed out. It is stated that the petitioner company submitted a compliance report stating that the defects pointed out in the notice are rectified and the matter is under scrutiny. The proposal for renewal of D-2 licence for the year 1981-82 is not renewed due to the reason that the whole matter regarding the defects pointed out in the inspection and the rectification report submitted by the petitioner is under investigation. It is stated that the petitioner failed to pay the establishment charges for the Excise staff posted at the distillery under Rule 14 A. P. Distillery Rules 1970 and as against the demand notice for the payment of the establishment charges, the petitioner filed a writ petition 5334/81. It is stated that after the compliance report is submitted consequent upon the defects pointed out by the Commissioner, the Joint Director inspected the distillery again and pointed out certain derects and compliance report submitted by the petitioner is under scrutiny and meanwhile the petitioner applied for renewal of D-2 licence for the year 1981-82 and the licence has not been renewed for the rensons stated above. It is stated that the licensee was asked to furnish particulars and rectify the defects according to rules. The Cetitionet cannot have renewal or/licence automatically. The Commissioner of Excise is competent to allot alcohol to various units basing on the availability of stock of alchol in the State with reference to the utility and the issue of rectified spirit to this unit will be considered only after settlement of charges levelled against this unit during inspection and after renewal of licence for the year 1981-82 on par with the other distilleries in the State.