The Hindu : Kerala News : Court stays slab system for bar licence fee

Online edition of India's National Newspaper
Tuesday, Apr 06, 2004

Kerala

Kerala

Court stays slab system for bar licence fee

By Our Staff Reporter

KOCHI, APRIL 5. The Kerala High Court today stayed the Government Order introducing the slab system for bar licence for three months on the condition that the petitioners, including the Kerala Bar Hotels Association, furnished bank guarantee for the enhanced licence fee (the difference between last year's fee and the new one) in one month.

Justice K. Balakrishnan Nair directed the Government to consider the association's representations seeking a review of the slab system before June 30.

The court ordered the Excise Commissioners to intimate all assistant commissioners about the interim stay order.

According to the petitioners, the slab system, introduced on April 1, could not achieve the object of the new `abkari' policy. They said the new policy was irrational and arbitrary.

Moreover, the provisions of the Kerala Abkari Act and rules did not empower the Government to make rules fixing licence fee on the basis of average monthly purchase of Indian Made Foreign Liquor (IMFL).

According to the slab system for bar hotels, the licence fee should be decided on the basis of average purchase made from the Kerala State Beverages Corporation during the last three years. If the average purchases were up to 200 cases, the licence fee would be Rs.15 lakhs.

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