Hyderabad

Excise Dept. to act against liquor cartels

A woman filing an application for wine shop at the Excise office in Sangareddy on Wednesday.

A woman filing an application for wine shop at the Excise office in Sangareddy on Wednesday.   | Photo Credit: MohdArif

Dealers who sell liquor below MRP to be punished

As the last date for submission of applications to run liquor outlets ended on Wednesday, the Excise Department sees the scope for formation of liquor cartels and syndicates that can cause loss of revenue to the State.

The department said there are instances of a few applicants threatening other interested parties from applying for A4 retail liquor outlets. These applicants are likely to resort to sell liquor at lower rates causing loss to other retailers.

Accordingly, the Excise Department said selling liquor below the MRP rates would amount to unfair trade practice. Those found guilty of violation would be liable for punishment, including imprisonment of not less than six months, which could extend to two years. The violation would attract a fine of ₹1,000 by court and imposition of penalty ranging from ₹2 lakh to ₹3 lakh by the department.

“Any person does any act or omits to do anything in breach of rules or licence conditions in contravention of any provisions of the Act or rule or orders, such person is liable for prosecution under Section 36(b) and 41 of Telangana Excise Act,” the department said in a circular. The circular comes in the light of the commencement of the new Excise year from November 1 involving opening of 2,216 liquor outlets across the State. The department has increased the application fee from ₹1 lakh to ₹2 lakh for the licence that would be valid till October 30, 2021, and it has received over 20,000 applications with an estimated revenue through application fee in excess of ₹400 crore. The allotment of the shops is scheduled for October 18 after which the licencees would commence their business from November 1.

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Printable version | Apr 5, 2020 7:32:46 PM | https://www.thehindu.com/news/cities/Hyderabad/excise-dept-to-act-against-liquor-cartels/article29715481.ece

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