Delhi Govt defends special corona fee on liquor in HC, cites power under Delhi Excise Act

The Delhi government on Wednesday defended its decision to impose the 'special corona fee' on liquor in the national capital saying that it had the power to regulate the sale, purchase, and consumption of liquor in the capital. 

The Delhi government imposed the 'special corona fee'' on alcohol, a day after allowing re-opening of 150 state-run liquor vends in the city from May 3. Shortly after, Valecha, a lawyer, contended that the 'special corona fee'' was in excess of what has been authorised by law, alleging that it was being collected 'arbitrarily.' 

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"It said that the Delhi Excise Act, 2009, and the Rules framed thereunder, also empowers a State to accord the privilege of a peculiar nature and also to regulate/ supervise the sale, purchase, and consumption of liquor in Delhi, particularly, in view of the lockdown measures," said the Delhi Government in its response. 

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"To begin with, the very object of a State Excise Levy on liquor, which unlike other fiscal statutes, is dangerous and injurious to health and is, therefore, an article which is res extra commercium (outside commerce). Citizen, therefore, has no fundamental right to do trade or business in liquor or for that matter also to consume liquor," the reply said.

"That apart, cost of regulation and supervision in form of regulatory and supervisory fee can also be charged under State Excise law for regulating and/ or supervising the various facets of sale, purchase, possession, etc of liquor," Delhi government added. In its reply, the Delhi Government also cited the example of 10 other states namely Assam, Meghalaya, Karnataka, Andhra Pradesh, Telangana, Uttar Pradesh, Haryana, Rajasthan, Tamil Nadu, West Bengal, which have imposed similar levy. 

Calling the petition against the government 'a clear misconception of law', the Delhi government said that the state had the authority and jurisdiction to regulate (including prohibit totally or partially) such trade and commerce as well as to regulate the sale, purchase and consumption of liquor. 

"Moreover, the directives issued by the Excise Commissioner dated April 4, 2020, to all the concerned vends, also in effect, modify the terms and conditions of such licensee in terms of Section 11 of the Act and Rule 34 of the Rules," it added.

Under the 'special corona fees', 70 per cent of the maximum retail price (will be levied) on all categories of liquor sold through retail licensees for consumption.

(With ANI Inputs)

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