HC raps hoteliers seeking liquor license fee waiver, must pay Rs 9L

Petitioners reprimanded for wasting court’s time; HC says 'the needs of the many will always outweigh the needs of the few'

The Bombay High Court (HC) slapped a fine of Rs 9 lakh on nine petitioners, including several hotels and restaurants as well as related associations, seeking 50 per cent waiver for license renewal fee against vending foreign liquor.

Taking a stern view on the petitions, which averred that the applicants should be treated on par with Covid-19 victims as they were financially-hit during the pandemic, the HC curtly remarked that the pleas were “submission of mind-numbing insensitivity”.

A division bench of justices Gautam Patel and Madhav Jamdar further said, “There is no legal — let alone fundamental — right established to have a FL-III license at all.”

Presenting the association's case, counsel Viraag Tulzapurkar, argued that the hotels were allowed to operate only at 50 per cent capacity coupled with restricted business hours during the pandemic. Hence, they are entitled to a concession or an adjustment of the licence fees, he averred.

In a riposte to which, the HC stated, “The pandemic affected everyone. All businesses suffered. No exceptional prejudice was caused to the present petitioners. The petitioners’ right to conduct business is not absolute in a time of global distress.”

It underscored that during the pandemic, the government had responsibilities “far beyond the narrow commercial concerns of the associations and their foreign liquor vending business.”

Asserting that the government was struggling with essential services and commodities during the pandemic, the bench underlined, “The needs of the many will always outweigh the needs of the few.”

While advocate general pointed out to the court that 90 per cent of the establishments have already paid the revised license fee. Of a total of 17,605 licenses, 16,683 licensees have paid full license fees for 2021–2022. Another 922 have paid halve amount.

Striking down the petitions, the HC frowned at the applicants for asking a urgent hearing on the matter. “Other cases are now delayed by this self-indulgent and self-serving foreign liquor vending hotels, in whose petition there is not a shred of merit, and some of whose contentions border on the outrageous,” it said.

The court also was irked that “relevant material was suppressed” in the petitions, such as “various concessions granted by the government”.

“But we believe it is time to send a firm signal that the time of the court is not to be taken for granted, nor should there be any attempt to gamble on litigation. When a court’s time is squandered on frivolous matters, there will be consequences,” the HC said, ordering the that Rs 9 lakh fine amount will go to the chief minister's relief fund.