India

UDF to Scrutinise 488 Bar Licences Issued Under LDF Rule

By PTI

Excise Minister M Liju said the UDF government will conduct a detailed examination of 488 bar licences granted during the previous LDF governments and will take action if any irregularities are found. The licences were issued over ten years by the two Pinarayi Vijayan administrations using authority given to Deputy Excise Commissioners through a rule amendment introduced on 23 June 2017. The amendment allowed establishments that had lost their bar licences in 2014 and had been operating as beer and wine parlours to regain licences by submitting new applications. In 2014, the then UDF government led by Oommen Chandy had restricted bar licences to five‑star classified hotels, causing more than 700 hotels to lose licences and operate as parlours. Under the 2017 amendment, 410 hotels received licences during the first LDF term and 78 during the second, totalling 488.

Liju disputed CPI leader M B Rajesh’s claim that the Deputy Excise Commissioners were simply exercising their long‑standing authority to renew licences. He said the cases involved licences lost 10 to 12 years earlier and that the process was a restoration rather than ordinary renewal. The government will withdraw the authority given to Deputy Excise Commissioners to grant new FL‑3 bar licences under the renewal provision.

Regarding FL‑7 licences for airport transit lounges, Liju noted the category was introduced in July 2011 under the Oommen Chandy government and that the Excise Commissioner had granted two FL‑7 licences at Cochin International Airport on 22 June of this year without informing the government. An additional application was referred to the government, and on 4 August the Additional Chief Secretary directed that no decision be taken until the UDF government announced its liquor policy. Despite this, the Commissioner completed proceedings on another FL‑7 application on 12 October, prompting the government to request an urgent report. The government then halted the proceedings and directed that no licence be issued. An Excise Deputy Commissioner who made a decision contrary to government policy was removed, and two other Deputy Commissioners were suspended.

Responding to Rajesh’s claim that the LDF government introduced an online system for bar licence applications to ensure transparency, Liju said true transparency requires that every order issued by the Excise Department be uploaded on its website. He said the government intends to change the existing system in the department.

When Rajesh demanded an apology for alleged false statements, Liju said the former minister should apologise to the public for attempting to defend decisions taken during his tenure and that of his predecessors.

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