Court dismisses pleas on Tasmac tender notifications

Says conditions are neither irrational nor arbitrary

November 24, 2017 12:49 am | Updated 12:49 am IST - CHENNAI

The Madras High Court on Thursday dismissed a huge batch of writ petitions challenging the “very high” upset price fixed by the Tamil Nadu State Marketing Corporation (Tasmac) in the tender notices issued recently for grant of licence to collect empty liquor bottles and sell eatables in the bars attached to various retail liquor shops in the State.

Justice T.S. Sivagnanam rejected all the cases after observing: “The petitioners have failed to establish as to how Article 14 (right to equality) of the Constitution has been infringed on account of the tender conditions... it can be safely concluded that the action of Tasmac has been fair and reasonable and the conditions imposed are neither arbitrary or irrational.”

The writ petitioners, who were the existing licensees, had claimed that the upset price should be fixed by taking into consideration only the amount of liquor consumed in the bars and not the sales figures registered in every shop since most of the customers purchase liquor and consume it elsewhere. Further, stating that the upset price must be fixed taking into account the volume of sales and not the turnover since the latter projects a distorted picture on account of steep increase in the prices of IMFL, the petitioners objected to insistence on the bidders registering themselves for regular payment of the GST.

Scope limited

Not finding any force in the grounds raised by the licensees, the judge said the scope of judicial interference in such matters was very limited.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.