No it's not applicable in Maharashtra
Can a state government liquor licensee create liability
Namaste: My Simple Query: In Maharashtra, Liquor licensee is issued by state government through Excise Department which is renewed every year in March. Can a license holder (licensee) create liability on license by purchasing stocks of goods on credit terms. What is governments responsibility being License Issuer or License Owner when license holder's cheque is return unpaid and outstanding remains unpaid on 31st March. There are no such provision noted in State Excise act & rules. You may refer some another industry where licensing system is implemented like petrol pumps, road toll contractor, etc... Thanks Pankaj Kumar
Asked 7 years ago in Civil Law
11 Answers
1) Except with the written permission of the Commissioner, the licensee shall not sell, manufacture, transfer or sublet the right of manufacture conferred upon him by this licence not shall he, in connection with the exercise of the said right enter into any agreement which is in the nature of a sub-lease. If any question arises whether any agreement or arrangement is in the nature of sub-lease the decision of the Commissioner on such question shall be final and binding on the licensee.”
2) If licencee has purchased goods on credit and has failed to make payment to his creditors govt is not responsible
3)renewal of licence is subject to terms and conditions mentioned in licence
4) if his cheque is dishonoured for renewal fees licence would not be renewed
By providing the licence the government is exercising its power to regulate the sale and distribution of liquor product and control the quality as soon as you get the licence it is your responsibility to pay the licence fees for procuring the licence and you have to pick the required quantity of the liquor from the bonded warehouse which is again controlled by the excise department.
The payment of licence fees is your liability that you have to pay to the government even if you do not able to pick the required quantity for sale purpose
Sir in my view no credit is available on the license in the excise rules.
If there is breach of contract then please go to Civil Court otherwise you please bring into the notice of Excise Commissioner of the State who has been entrusted with such power to take or initiate action in such type of matters.
The liquor has to be purchased by the licensee and he can purchase it on credit on the strength of the licence. In case he does not sell the stock the same is taken over by the government.
Regards
There is no provision of taking back stocks of liquor by govt. or excise department. In Maharashtra liquor business is not operated by excise or govt. Excise Only issues License who can operate the business and purchases goods. usually, license holder purchases goods on credit. and do not pay the amount to supplier. what is excise & govt. responsibility & liability being licensee issuer if license holder does not pay the good which is purchased on credit terms from wholesaler. Above query is self explanatory.
Asked 7 years ago
if licence holder does not pay supplier for liquor supplied then govt is not responsible for non payment
2) supplier has to sue the licence holder to recover his money with interest
The liquor licensee is obliged to the government only to the extent of the license he has been granted.
The business dealings namely if he commits default in payment then he may have to face the general in this regard for recovery and other penal provisions.
They will initiate recovery process as per due process of law.
The authorities may file a money recovery suit as mandated in law for this purpose.
You can recover amount as on the basis of the documents you have of the transactions through Civil Court.
its the civil case. you can recover the dues from your debtor.