A writ seeking direction to permit supply of country liquor against expired quota was dismissed, as the right did not survive after the end of the relevant financial year. The judgment upholds established precedent regarding the strict temporal scope of excise licenses and is binding on subordinate courts handling similar reliefs for expired licensing periods in the excise sector.
Summary
| Category | Data |
|---|---|
| Case Name | WPMS/1166/2023 of OM PRAKASH PANT Vs EXCISE COMMISSIONER, STATE OF UTTARAKHAND DEHRADUN |
| CNR | UKHC010059782023 |
| Date of Registration | 19-04-2023 |
| Decision Date | 02-09-2025 |
| Disposal Nature | DISMISSED |
| Judgment Author | Hon’ble Mr. Justice Manoj Kumar Tiwari |
| Court | High Court of Uttarakhand |
| Precedent Value | Binding on subordinate courts |
| Overrules / Affirms | Affirms established law regarding quota expiry with license period |
| Type of Law | Excise Law / Administrative Law |
| Questions of Law | Whether a licensee can claim supply of liquor quota for a previous financial year after expiry of the excise license. |
| Ratio Decidendi |
The Court held that once the financial year for which an excise license was granted is over, no right survives for the licensee to request permits for uplifting quota pertaining to that expired year, even if payment was made in advance. The efflux of time renders the relief infructuous, and such rights do not automatically carry forward into subsequent periods. Therefore, writ of mandamus cannot be issued for a period beyond the validity of the original license. |
| Facts as Summarised by the Court |
The petitioner was granted a country liquor retail license for FY 2022-23, and had deposited the requisite amounts for the Nainital Road Haldwani and Railway Road Shops. After the year expired, petitioner sought a writ for permits to uplift unavailed quota against the expired year. The State opposed, arguing the right did not survive past the relevant year. The Court found substance in the State’s submission and dismissed the petition. |
| Citations | 2025:UHC:7792 |
Practical Impact
| Category | Impact |
|---|---|
| Binding On | All subordinate courts of Uttarakhand |
| Persuasive For | Other High Courts in excise licensing/quota disputes |
| Follows | Established principles restricting license/quota rights to license period per excise regulations |
What’s New / What Lawyers Should Note
- Clarifies that excise licensees cannot claim right to lift quota against a period after the license (and relevant financial year) has expired, regardless of advance deposit.
- Affirms that rights and reliefs tied to statutory licenses are strictly limited to the period of their validity.
- Lawyers should ensure that applications for such mandamus reliefs are within the active license period; post-expiry claims are not enforceable.
- May be cited to resist attempts at securing permits or quotas for expired licensing years in excise matters.
Summary of Legal Reasoning
- The Court considered the petitioner’s claim for a writ of mandamus directing supply of country liquor against the quota of FY 2022-23, with payment already deposited.
- The State objected, arguing that post the expiry of the financial year (and absence of a renewed license), the relief became untenable.
- The Court upheld this objection, ruling that passage of time rendered the claim infructuous; rights to uplift quota do not extend beyond the license period.
- The judgment affirms the principle that statutory rights under excise licenses are time-bound, and no enforceable rights remain after expiry of the license/year.
Arguments by the Parties
Petitioner
- Sought writ of mandamus to direct issuance of permits for uplifting country liquor against quota for FY 2022-23.
- Asserted deposit of specified amounts for relevant shops.
Respondent (State)
- Argued that after expiry of FY 2022-23, the petitioner’s license lapsed and no new license was granted.
- Contended that petitioner’s relief, being tied to an expired period, does not survive.
Factual Background
The petitioner held a country liquor retail sale license covering the financial year 2022-23, and deposited over two crore rupees in advance to the excise department for two different shops. After the conclusion of the licensed year, the petitioner sought court directions to allow uplifting of liquor quota pertaining to the same (expired) financial year. The State defended its refusal on the ground that the right lapsed with the financial year. The High Court agreed and dismissed the writ petition.
Statutory Analysis
- The judgment upholds that statutory rights conferred by excise licenses are confined to the explicit period (financial year) stipulated in the license.
- The Court’s interpretation reinforces the non-survivability of claims or benefits tied to a timeframe after the license and financial year have expired.
Alert Indicators
- ✔ Precedent Followed – The High Court reaffirmed the settled law that rights under excise licenses are time-bound and do not continue post-expiry of the license period.
Citations
- 2025:UHC:7792