SALSON LIQUOR PVT LTD Vs. STATE OF BIHAR

JUDGEMENT

(1.) HEARD Mr. Y.V. Giri, Senior Advocate appearing for the petitioner and Mr. Advocate General representing the State.

(2.) HAVING regard to the order that is proposed to be passed in this case, it is not needed to sate the facts of the case in great detail. Suffice it to note that the Excise Commissioner made a surprise inspection of the petitioner 'sbottling - plant and warehouse etc. on 6.3.06. The inspection report indicated gross dereliction of duty by the Excise official posted Equivalent Citation:2007 -PLJR -1 -31 at the petitioner 'sbottling plant and warehouse and an equally serious violation of a number of statutory rules, regulations and the terms and conditions of the licences by the petitioner. On the basis of the inspection report the Collector, Patna, (the licensing authority) gave a show cause notice to the petitioner and on consideration of the show cause, cancelled its licences issued under the Excise Act. Against the Collector 'sorder the petitioner went in appeal before the Excise Commissioner (it may be noted that by that time the post of Excise Commissioner was being held by someone else than the officer who had made the inspection). The Excise Commissioner asked the Collector for his comments on the memo of appeal submitted by the petitioner. The Collector being preoccupied with the Panchayat election was unable to give his comments in time. Thereupon the Excise Commissioner passed an ex -parte order allowing the petitioner 'sappeal and setting aside the order passed by the Collector. In that order the Excise Commissioner also made some adverse remarks about the Collector.

(3.) AFTER some arguments were advanced by both sides both on procedural aspects of the matter as well as on merits of the case Mr. Giri pointed out that in an earlier case of Iceberg Industries Limited vs. The State of Bihar and Ors. (CWJC No. 11280/2006), the Advocate General had agreed to the restoration of that unit 'slicence(s) on payment of the full amount of the loss of revenue caused by it along with an equal amount as penalty. The Court then wanted to know the amount of revenue loss caused to the State by the petitioner 'sactions in violation of the rules, regulations and the terms and conditions of its licences. The Advocate General requested for a brief adjournment for getting the computation made with regard to the revenue loss suffered by the State. At 2.15 P.M. when the case was again called out the Advocate General produced before the court a calculation chart of excise evasion by the petitioner as appearing from the inspection report, dated 6.3.2006 by the Excise Commissioner. According to this statement the total revenue loss caused by the petitioner amounted to Rs.6,74,438/ -. Let the calculation chart submitted by the Advocate General be kept on the record of the case.