LAWS(P&H)-2011-3-272

NAMAN CHEMICALS Vs. STATE OF PUNJAB

Decided On March 25, 2011
Naman Chemicals Appellant
V/S
STATE OF PUNJAB Respondents

JUDGEMENT

(1.) This petition seeks quashing of clause 18.0 of Excise Policy 2011-12 issued by the State Government. The case of the petitioners is that they were holding L-17A licence under which they purchased denatured spirit from distilleries and sold the same to L-17 licencees and L-42A permit holders. Every year new excise policy is released by the State Government under the provisions of Punjab Excise Act, 1914. Excise Policy for the year 2011-12 has been released, inter-alia, providing as under:

(2.) The result of the above policy is not to renew the L-17A licences which affected the rights of the petitioners. The petitioners made representation to the State but no decision has been taken.

(3.) The contention raised in the petition is that the policy of the State Government violates the fundamental right of the petitioners under Article 19(1)(g) of the Constitution. The State cannot prohibit business in denatured spirit but can only regulate the same as held in Synthetics and Chemicals Ltd. Etc. v. State of U.P., 1990 AIR(SC) 1927