Hotel Vaithee Park rep by its Partner v. P. Srinivasan VS Government Of Tamilnadu rep by its Principal Secretary Home Prohibition And Excise Department
2012-09-18
M.JAICHANDREN
body2012
DigiLaw.ai
Judgment :- 1. Heard the learned counsel appearing for the parties concerned. 2. This writ petition has been filed challenging the impugned order of the third respondent, dated 16.8.2012, suspending the F.L.3 licence granted in favour of the petitioner temporarily under Rule 22(2) of the Tamil Nadu Liquor (Licence and Permit) Rules 1981 (hereinafter referred to as the Rules). 3. The learned counsel appearing for the petitioner had contended, inter alia, that the third respondent had no authority or power to suspend the F.L.3 licence issued in favour of the petitioner, based on the report of the Assistant Commissioner (Excise), Kancheepuram District, dated 6.8.2012. 4. It had been further stated that the impugned order had been passed by the third respondent without proper application of mind. No opportunity had been given to the petitioner to refute the irregularities alleged to have been committed by the F.L.3 licence holder. The impugned proceedings of the third respondent had been passed without proper verification of the relevant records and without taking into consideration the fact that the appropriate Value Added Tax had already been paid by the petitioner. 5. It had been further stated that the third respondent had passed the impugned order, mechanically, without considering the peculiar facts and circumstances of the case. Even though Rule 22(2) of the Rules, does not contemplate the issuance of a prior notice and the granting of a personal hearing before an order is passed suspending the licence, temporarily, such an opportunity ought to have been given, as the impugned order affects the licensee, adversely, resulting in heavy monetary loss and serious damage to the reputation of the licence holder. Therefore, an order could be passed by the authority concerned under Rule 22(2) of the Rules only under certain circumstances, when serious irregularities are found to have been committed. In the present case, no such serious irregularities are found to have been committed by the licence holder and therefore, the impugned order passed by the third respondent cannot be sustained in the eye of law. In such circumstances, the impugned order of the third respondent, dated 16.8.2012, is liable to be set aside. 6.
In the present case, no such serious irregularities are found to have been committed by the licence holder and therefore, the impugned order passed by the third respondent cannot be sustained in the eye of law. In such circumstances, the impugned order of the third respondent, dated 16.8.2012, is liable to be set aside. 6. The learned counsel for the petitioner had also submitted that no endorsement had been obtained either from the licensee or from the person authorised to make such endorsement authenticating the particulars noted by the officers, who had conducted the inspection, on 4.8.2012 and 5.8.2012. 7. It had also been stated that no samples of liquor had been taken by the inspecting officer at the time of inspection. Further, no proper stock verification has been made at the time of the inspection. 8. The learned counsel appearing on behalf of the respondents had submitted that the impugned order passed by the third respondent is only temporary in nature. The suspension of the F.L.3 licence, granted in favour of the petitioner, had been suspended by the order of the third respondent, dated 16.8.2012, based on the report of the Assistant Commissioner (Excise), Kancheepuram, dated 6.8.2012. 9. The learned counsel appearing on behalf of the respondent had submitted that the impugned order had been passed by the third respondent suspending the licence granted in favour of the petitioner, due to the irregularities pointed out in the said order. There is no provision in Rule 22(2) of the Rules, for the issuance of a notice or for a grant of an opportunity of hearing to the licence holder or before the suspending of the licence. Therefore, the present writ petition filed by the petitioner challenging the impugned order of the third respondent, is a pre-mature in nature. It is for the petitioner to participate in the enquiry to be conducted by the third respondent and to await the final order to be passed by the said authority under Rule 22(1) of the Rules. As such, the writ petition filed by the petitioner is devoid of merits and therefore, it is liable to be dismissed. 10. In view of the submissions made by the learned counsel appearing for the petitioner as well as the respondents, and on a perusal of the records available, it is seen that the petitioner had already paid the value added tax upto date.
10. In view of the submissions made by the learned counsel appearing for the petitioner as well as the respondents, and on a perusal of the records available, it is seen that the petitioner had already paid the value added tax upto date. Further, nothing has been shown on behalf of the respondents to substantiate the charge that certain irregularities had been committed by the licensee to warrant the temporary suspension of the licence. In such circumstances, this court finds it appropriate to set aside the impugned order of the third respondent, dated 16.8.2012, suspending the F.L.3 licence issued in favour of the petitioner. It is for the third respondent to consider the reply submitted by the petitioner, dated 30.8.2012, and pass appropriate orders thereon, after giving an opportunity to the petitioner to participate in the enquiry to be conducted, pursuant to the show cause notice dated 27.8.2012, issued to the petitioner, under Rule 22(1) of the Rules. The third respondent shall pass such orders on merits and in accordance with law, after giving an opportunity of personal hearing to the licensee, within a period of eight weeks from the date of receipt of a copy of this order. The authorities concerned shall remove the seal and the lock, forthwith, to enable the petitioner to run the bar in question, subject to the final order to be passed under Rule 22(1) of the Rules. The writ petition is ordered accordingly. No costs. Connected M.P.Nos.1 and 2 of 2012 are closed.