Divested of permits to sell liquor, 9 Guj hoteliers move HC

The Gujarat High Court today sought the state government's stand on a plea by nine hotel owners challenging cancellation of their liquor sale permits after the Supreme Court banned sale of liquor within 500 metres of state and national highways.
As Gujarat already has prohibition and alcohol can be sold only to those possessing the drinking permits, the government's action made no sense, said the hotel owners in their plea.
A bench of Chief Justice R Subhash Reddy and Justice V M Pancholi asked the government pleader to seek a clarification from the officials on a circular issued on April 1, 2017, and adjourned the hearing to July 26.

The circular revoked liquor permits of eleven hotels which fall within 500 metres of various highways.
Nine out of these eleven hotels have moved the high court, demanding that the government restore their permits.
The petition said the government had issued permits in accordance with the law, and the cancellation made no sense as they were meant to sell alcohol only to those who have drinking permits, and not to the general public.

Following the apex court's order, the government, through the April 1 circular, had directed the Prohibition and Excise Department to revoke permits of eleven out of 56 hotels in the state, mandated to sell alcohol.

Gujarat has been enforcing prohibition in its territory since its inception in 1960.
The BJP government made the law more stringent recently, extending the jail term up to ten years for illegal manufacturing, purchase, sale and transportation of liquor in the state.
Around 3.5 lakh persons in the state have drinking permits, the petition said.