Bombay High Court Dismisses Petition Challenging Shifting of CL III License for Restaurant and Bar Abutting National Highway. Petitioner's Objection Based on Distance from Religious Place Rejected as License Was Already Granted and No Statutory Violation Found.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The petitioner, Rahul Giridhar Pathade, a resident of Village Peth, District Nashik, filed a writ petition challenging three orders: (i) order dated 04.12.2018 passed by the Commissioner State Excise granting prior permission for shifting of a CL III license; (ii) order dated 08.02.2019 passed by the Collector of Nashik permitting the shifting; and (iii) order dated 20.09.2019 passed by the State of Maharashtra dismissing the petitioner's appeal. The respondent No. 3, Kailash Nanaji Suryavanshi, held a CL III license under the Maharashtra Prohibition Act, 1949, and was running a restaurant and bar named M/s Hotel Mohana Garden on Plot No. 284 since 1996. The premises was shut down pursuant to the Supreme Court order dated 15.12.2016 prohibiting liquor vends on national highways, as the plot abutted a national highway. Respondent No. 3 constructed a wall on three sides of the plot to restrict entry from the highway and applied for shifting the license to a new premises. The Collector and Commissioner granted permission for the shift. The petitioner objected, claiming that the new premises was near a religious place and would cause nuisance. The court examined the provisions of the Maharashtra Prohibition Act, 1949, and the Bombay Prohibition (Bar and Restaurant) Rules, 1956. The court noted that the license was already granted and the shifting was permissible under the rules. The petitioner's objection regarding distance from a religious place was not raised before the licensing authority and was not supported by any evidence. The court held that the petitioner had no locus standi to challenge the shifting as the license was validly granted and all statutory requirements were complied with. The court dismissed the petition, upholding the orders of the authorities.

Headnote

A) Excise Law - Shifting of License - CL III License - Maharashtra Prohibition Act, 1949 - The petitioner challenged the orders permitting shifting of a CL III license from one premises to another. The court held that the shifting was permissible as the license was already granted and the new premises complied with all statutory requirements. The petitioner's objection regarding distance from a religious place was not raised before the licensing authority and could not be entertained at this stage. (Paras 1-10)

B) Excise Law - Highway Liquor Ban - Supreme Court Order - The original premises was shut down due to the Supreme Court order dated 15.12.2016 prohibiting liquor vends on national highways. The licensee constructed a wall to restrict highway access and applied for shifting. The court held that the shifting was a valid measure to comply with the ban and continue business. (Paras 3-5)

C) Excise Law - Locus Standi - Public Interest - The petitioner, a resident of the same village, objected to the shifting on grounds of nuisance and proximity to a religious place. The court held that the petitioner had no locus standi as the license was already granted and the objections were not raised before the licensing authority. The court also noted that the petitioner's allegations were vague and unsubstantiated. (Paras 6-9)

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Issue of Consideration

Whether the shifting of a CL III license from one premises to another within the same village, after the original premises was shut down due to the Supreme Court's highway liquor ban, is valid and whether the petitioner's objection based on the distance of the new premises from a religious place is maintainable.

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Final Decision

The writ petition is dismissed. The orders dated 04.12.2018, 08.02.2019, and 20.09.2019 are upheld.

Law Points

  • Maharashtra Prohibition Act
  • 1949
  • CL III license
  • shifting of license
  • distance from religious place
  • highway liquor ban
  • Supreme Court order dated 15.12.2016
  • Bombay Prohibition (Bar and Restaurant) Rules
  • 1956
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Case Details

2023 LawText (BOM) (01) 170

WRIT PETITION NO. 12083 OF 2019

2023-01-24

MILIND N. JADHAV

2023:BHC-AS:3612

Ms. Veena B. Thadani a/w Mr. Vishal B. Thadani for Petitioner, Mr. P.G. Sawant, AGP for Respondent Nos. 1, 2 and 4, Mr. Santosh L. Patil a/w Ms. Shraddha Kadam for Respondent No. 3

Rahul Giridhar Pathade

The Collector of Nasik, The Commissioner State Excise, Kailash Nanaji Suryavanshi, The State of Maharashtra

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Nature of Litigation

Writ petition challenging orders permitting shifting of a CL III license for a restaurant and bar.

Remedy Sought

Petitioner sought quashing of orders dated 04.12.2018, 08.02.2019, and 20.09.2019 permitting shifting of the license.

Filing Reason

Petitioner objected to the shifting of the license to a new premises allegedly near a religious place and causing nuisance.

Previous Decisions

The Collector permitted shifting on 08.02.2019 after prior permission from the Commissioner on 04.12.2018. The State of Maharashtra dismissed the petitioner's appeal on 20.09.2019.

Issues

Whether the shifting of a CL III license from one premises to another is valid under the Maharashtra Prohibition Act, 1949? Whether the petitioner has locus standi to challenge the shifting based on distance from a religious place?

Submissions/Arguments

Petitioner argued that the new premises is near a religious place and would cause nuisance, and that the shifting was illegal. Respondents argued that the license was already granted, all statutory requirements were complied with, and the petitioner's objections were not raised before the licensing authority.

Ratio Decidendi

The shifting of a CL III license is permissible under the Maharashtra Prohibition Act, 1949, and the Bombay Prohibition (Bar and Restaurant) Rules, 1956, as long as statutory requirements are met. A petitioner who fails to raise objections before the licensing authority and provides no evidence of violation has no locus standi to challenge the shifting.

Judgment Excerpts

By the present Writ Petition, Petitioner takes exception to the orders dated (i) 20.09.2019 passed by Respondent No. 4 - State of Maharashtra, (ii) 08.02.2019 passed by Respondent No. 1 – Collector of Nasik and (iii) 04.12.2018 passed by Respondent No. 2 – The Commissioner State Excise. Admittedly Respondent No. 3 is carrying on business of Restaurant and Bar in the name and style of M/s Hotel Mohana Garden since 1996. The said Restaurant and Bar was shut down pursuant to the order passed by the Supreme Court on 15.12.2016 since the same was abutting the National highway.

Procedural History

The Collector of Nasik passed order dated 08.02.2019 permitting shifting of CL III license after prior permission of the Commissioner on 04.12.2018. The petitioner appealed to the State of Maharashtra, which dismissed the appeal on 20.09.2019. The petitioner then filed the present writ petition before the Bombay High Court.

Acts & Sections

  • Maharashtra Prohibition Act, 1949:
  • Bombay Prohibition (Bar and Restaurant) Rules, 1956:
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