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The Delhi High Court today dismissed an application challenging Delhi Government’s notification of September 10, 2021, conveying that the private retail licenses for retail sale of Indian and Foreign Liquor are valid only till September 30, 2021, and will not be extended/ renewed any further beyond the said date.

The division bench of Chief Justice DN Patel and Justice Jyoti Singh was hearing an application filed by one Rattan Singh challenging the said notification alleging that the decision of the Government to not extend licenses of L7 Licensees whereas extending the Licenses of others is not only unreasonable but is also an arbitrary exercise of power vested in the licensing authority.

The court however observed that as per the submissions of the Delhi Government there are different types of licenses for different purposes ranging from L1 to L34 The Court noted  that the Government of NCT Delhi (GNCTD) has now floated a New Excise Policy 2021 in which several changes have been brought under the Delhi Excise Act.

According to the government there are 849 vends where around 200 are private vends. L7 is for retail vends for private retailers. The Delhi Government submitted that it is going to discontinue the private vends from September 30 and thereafter the government vends will also be discontinued. It was submitted that even government vends will be closed down from November 16.

The court observed that it was not in agreement with the petitioners that the notification was arbitrary since “the Government has power to float new excise policy. Government ought to be given free moment in joints. It ought to be kept in mind that change is inevitable and change of excise policy is not an exception to this rule. Prima facie we don’t want to pre judge the effect of the new policy.”

The court further noted that the Delhi Government is first going to close down the private vends and then the government vends. It is the policy decision of the government that government should not continue with these vends and it should slowly go to private hands.

“Government does not want to continue with the sale of liquor but would continue  to control the sale of liquor. Thus in view of the new excise policy the respondents are closing the private vends who are having L7 licenses. Prima facie the mechanism which is going to be adopted by the govt does not violate the rights of the petitioners. Other licensees will have to go slightly left or right to purchase the liquor.”

“The public at large are not going to be affected because other licenses have been extended and the public have to come out of their comfort zone since liquor will not be available at door steps.”

The court however clarified that it was an interim order and the main petition will be heard on October 20.

Case Title: Ratan Singh vs GNCTD and Anr