Andhra Pradesh set to lose major liquor pie for last quarter due to SC order

The apex court to decide on March 20 State's appeal seeking three months to implement its order for closing down liquor shops along highways

VIJAYAWADA: With the closing down of 3,000 liquor shops located close to the highways from April 1, 2017, the Prohibition and Excise department is estimated to lose over Rs 600 crore revenue in the current fiscal. 

Expressing concern over nearly 1.5 lakh deaths every year in road mishaps across the country, the Supreme Court had directed all States to close down all the liquor shops located in the radius of 500 mtr from all National and State highways by March 31, 2017. 

The apex court also clarified that those having licences to run liquor shops can operate till the expiry of their licences or April 1, whichever is earlier. 

There are 4,100 liquor shops and 776 bar and restaurants in the State. 

The Prohibition and Excise department has noticed that 3,000 liquor shops and 496 bar and restaurants will be affected due to the Supreme Court order. 

The department has been issuing licences to the liquor shops and bars with the validity from July 1 to June 30 and collecting the license fee in three quarters. The licence holders are supposed to pay their last quarter fee (March to June) in February. With the SC order, the the liquor shop owners did not pay the license fee to the tune of Rs 600 crore.

Meanwhile, the State government has appealed in the Supreme Court, requesting three months time to execute the orders. The government has explained to the court that the term of the liquor shop licence will be completed by June 30 and assured the court that no new liquor shops would be allowed near the highways in future. 

The Supreme Court posted the appeal to March 20.

"We are waiting for the apex court decision on the government's appeal. Majority of the wine shops and bars have been affected with the order," Excise Commissioner Mukesh Kumar Meena said.  

"There are a few choices for the government. Calling fresh notification to issue new licenses to the affected shops and asking the traders to relocate their shops. However, majority of the traders may not shift their shops. Who will come forward to shift shop just for three months. The further course of action depends on the Supreme Court's decision on March 20," Meena said.

Meanwhile, 496 affected bar owners are also worrying about relocating their shops. Out of 496 bars, a less number can continue as  restaurants. 

Interestingly, some of the senior advocates have advised the government that the Court, in its order, had mentioned only liquor shops, not bars. Responding to the issue, Meena  said all the doubts would be cleared on March 20.

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