Vat 69, Smirnoff to go off shelves as 2- yr ban kicks in

The financial commissioner in his order had charged USL for violating provisions of the Delhi Excise Act, 2009 and Delhi Excise Rules, 2010 by using duplicate barcodes

You won’t be able to buy Vat 69 whisky and Smirnoff vodka in the city for the next two years as the Delhi government has banned its sale over the use of duplicate barcodes. Scotch blended whisky Vat 69 and Smirnoff vodka brands are both created by Diageo, a British multinational alcoholic beverages company.

The court of Delhi financial commissioner has said these barcodes could be misused, and thus cause danger to the public. Duplicate or unauthorised barcodes can also be used to avoid tax. To ensure safety and tax compliance, the Delhi government has directed all alcohol vends to ensure the sale of liquor through scanning from February.

The Delhi government’s financial commissioner has blacklisted Diageo’s subsidiary in India, United Spirits Limited ( USL), for two years for selling their products using unauthorised barcodes, which violates provisions of the Delhi Excise Act, 2009. The court said it is “established that unauthorised barcodes were used. Moreover, the existence of loose barcodes has been established. These loose barcodes could easily be misused and cause danger to public health.”

The actual ban on these products was imposed for three years on May 22, 2017, but USL challenged the orders issued by the deputy commissioner and commissioner, the Delhi government’s excise department, and had moved the court of the Delhi financial commissioner. As per the initial order, the company’s Aurangabad and Sangrur units were banned from manufacturing Vat 69 whisky and Smirnoff vodka for three years. So now, stores in Delhi will not be able to sell these brands for the remaining period of around two years.

“I am of the view that the appellant violated provisions of the Delhi Excise Act, 2009, Delhi Excise Rules, 2010, the terms and conditions of the licence issued to it and the standard operating procedure framed by the Delhi Excise Department and that consequently the department has rightly imposed the penalty of blacklisting under Rule 70 of the Delhi Excise Rules, 2010 upon United Spirits LTD ( USL), Aurangabad,” the financial commissioner said in his order.

All the in- charges of liquor vends in Delhi have been directed to put their system in place to ensure 100 per cent sale through scanning. The sale of liquor without scanning could attract penal action against the vendor.