Mallya asked to appear before Karnataka HC on January 27 

BENGALURU: The High Court on Friday ordered liquor baron Vijay Mallya to be appear before it on January 27 for framing of charges in connection with a contempt petition. A consortium of banks which lent money to Mallya’s Kingfisher Airlines Ltd have filed this petition.  

It may be noted that the High Court rejected Mallya’s plea praying to recall the court’s order of October 20, 2016, wherein he was asked to be present before it for framing of charges.

The consortium of banks claimed that they came to know through media reports that Mallya had pledged 1,04,86,666 shares of UB Ltd held by him and another 1,04,64,288 shares held by his son Siddarth Mallya to Standard Chartered Bank, when the matter was pending before Debt Recovery Tribunal as well as the High Court.

They contended that pledging of shares was confirmed by the stock exchange and it was willful disobedience of an undertaking given by Mallya.

Setback to govt on liquor  licences for SCs, STs

The Siddaramaiah-led Congress government yet again experienced a setback with the High Court on Friday dismissing its appeal justifying certain exemptions given to people belonging to SC and ST communities in granting liquor licences to hotels and lodges owned by them.

Dismissing a batch of appeals filed by the government and others, a division bench of Justices Jayant Patel and Aravind Kumar upheld the order of a single-judge bench which quashed the government notification dated June 9, 2014, giving exemptions to people belonging to SC and ST communities.

The division bench also clarified its judgment is prospective and those who have started business already after getting the benefit of exemption before it stayed, can continue their business under the 7D licence till its validity period.

The single-judge bench had quashed the notification after allowing a petition filed by one B Govindraj Hegde, secretary, Karnataka Wine Merchants Association and a resident of Udupi.

The state government had introduced the amended Rule 7-D of Karnataka Excise (Sale of Indian and Foreign Liquor) Rules, 1968 whereby hotels and boarding houses having a minimum of 15 double rooms in city corporation areas and 10 double rooms in other areas run by persons belonging to SC or ST community could sell and serve liquor.

As per the norms, it was mandatory to have 20 and 30 rooms respectively to obtain a CL-7 licence to sell or serve liquor in a lodge.