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TMI Blog2005 (1) TMI 734X X X X Extracts X X X X X X X X Extracts X X X X ..... 03 and M. Vinya Keerty, Adv. for Rl to R6 in Was 7562-68/03 JUDGMENT H.N. Nagamohan Das, J. 1. The Government of Karnataka vide notification dated 1.4.2003 bearing No. FD 20 PES 2002 amended the Karnataka Excise (Sale of Indian and Foreign Liquors) Rules 1968 (hereinafter referred to as 'Rules') by inserting Sub-rule (2) of Rule 14, 14A and 14B and amendment of Form CL-A and insertion of new Forum ACT-CL-1. The subject matter in this lis is insertion of Sub-Rule(2) of Rule 14 of the Rules, under which the CL-2 and CL-9 licensees shall lift for sale, a minimum quantity of liquor per month. The CL-2 and CL-9 licensees being aggrieved by this impugned notification questioned the same in W.P. Nos. 20614-20624/2003 and connected matte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pugned notification is issued by the State without following the procedure and have not considered the objections filed by the licensees It is contended that the State shall consult Department of law while amending a Rule as per Karnataka Government (Transaction of Business) Rules 1977 and having not done the same, the impugned notification is bad in law. As per the amended Rule, the respondents who are CL-2 and CL-9 licensees are alone liable to lift a minimum quantity of liquor per month and the other licensees under the Rules who are similarly placed are excluded and as such the same is discriminatory and in violation of Article 14 of the Constitution. Further, under the amended Rule, if the respondents fail to lift the minimum quantity ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CR721 , the Apex Court held that a citizen has no fundamental right to trade in intoxicating liquors. 6. Trading in Indian made liquor in the State of Karnataka is governed under the provisions of Karnataka Excise Act, 1965 and the Rules framed thereunder. Under the Rules various kinds of licences are granted and they are CL-1 (wholesale), CL-2 (Retail shop licence), CL-4 (licence to clubs), CL-5 (Occasional licenses), CL-6 (Special licenses), CL-7 (Hotel and boarding house licence), CL-8 (Military canteen licence), CL-9 (Refreshment room and bar licence), CL-11 (Distributor licence). Section 71 of the Act, empowers the State to frame the Rules and to amend the Rules, to carry out the purpose of the Act. 7. Keeping in view the law governi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ections. The record discloses that due consideration is given to the objections filed by the respondents and others before arriving at the decision. The omission to record reasons to reject the objections of respondents, is neither opposed to principle of natural justice nor can it be said that there is non-consideration of objections. The notings in the entire record bridges the link between the object, objections and the decision taken by the State. 9. The power to amend the Rules is specified in Section 71 of the Act, which reads' as under; "The State Government may, by notification and after previous publication, make Rules to carry out the purpose of the Act'. In the instant case, State published draft Rules on 21.6.20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , [1975]3SCR254 ; KHODAY DISTILLERS v. STATE OF KARNATAKA AIR 1995 SCW 313; and STATE OF ANDHRA PRADESH AND ORS. v. MC DOWELL & CO. AND ORS, [1996]3SCR721 ., the Apex Court continuously and consistently has held that a citizen has no fundamental right to trade in intoxicating liquors. The Apex Court in Me Dowell & Co. observed in para 41. The contention that a citizen of this country has a fundamental right to trade in intoxicating liquors refuses to die, in spite of the recent Constitution Bench decision in Khoday Distilleries. (emphasis supplied) Nearly a decade after, again the same question whether a citizen of this country has a fundamental right to trade in intoxicating liquor is urged before us. Though this right is buried in Mc do ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y be counter productive to unity and integrity of the nation. In a democracy governed by Rule of law, gradual progressive change and Order should be brought about. Making law or amendment to a law is a slow process and the legislature attempts to remedy where the need is felt most acute. It would therefore, be inexpedient and incorrect to think that all laws have to be made uniformly applicable to all people in one go. The mischief or defect which is most acute can be remedied by process of law at stages", 12. It is now well settled that Article 14 does not forbid reasonable clarification for the purpose of legislation. In the present case, among the various categories of licensees it is CL-2 and CL-9 licensees who come into contact w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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