High Court of KeralaSingle JudgeExt. P8 set aside; petition allowed in part; di...

M/S. Hotel Indraprastha (owned by M/S. Hotel Mythri) vs State of Kerala and Others

Case / Petition Number:WP(C).No. 8860 of 2013 (F)

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • K. Surendra Mohan
Judgment Date
2013-04-01
Court Decision / Holding
Ext. P8 is set aside. Respondents 1 and 2 are directed to consider the petitioner’s FL-3 licence application afresh and to pass appropriate orders thereon, in accordance with law, as expeditiously as possible and at any rate within six weeks of the copy of the judgment.
Final Disposition
Ext. P8 set aside; petition allowed in part; directs fresh consideration of the FL-3 licence application within six weeks.

Parties to the Case

Appellants / Petitioners

  • M/S. Hotel Indraprastha (owned by M/S. Hotel Mythri) near KSRTC Bus Stand Nedumangad P.O., Thiruvananthapuram-695541, rep by its Managing Partner, Dr. Biju Ramesh

Respondents

  • State of Kerala represented by Secretary, Taxes(A) Department, Govt. Secretariat, Thiruvananthapuram
  • The Excise Commissioner, Commissionerate of Excise, Thiruvananthapuram
  • The Joint Excise Commissioner, Southern Zone, Thiruvananthapuram
  • The Deputy Commissioner of Excise, Thiruvananthapuram
  • The Circle Inspector of Excise, Nedumangad, Thiruvananthapuram District
  • K Somasekharan Nair, S/O K K Kunjan Pillai, Bhavana, Cherupporkonam Melamkode, Pazhkutty P.O., Nedumangad, Thiruvananthapuram Dist 695541

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri. M.G. Karthikeyan
  • • Sri. Nireesh Mathew
  • • Sri. C.C. Thomas (Sr.)

Counsels for Respondents

  • • Sm. Anitha Ravindran

Case Synopsis & Summary

The petitioner, M/S. Hotel Indraprastha (represented by its managing partner Dr. Biju Ramesh), filed this writ petition challenging Ext. P8, an order by the Excise Department rejecting the petitioner’s application for an FL-3 liquor licence. The core issue is the interpretation of eligibility: whether the licence can be denied based on the date of application (20.03.2012) when the hotel’s star classification certificate was issued later (23.07.2012, with effect from 20.07.2012). Ext. P8 was framed as if the application remained ineligible at the time of consideration, but the petitioner argued that the governing principle is to determine eligibility as on the date of consideration, a view supported by settled law including a Full Bench decision in State of Kerala v. Raveendran Pillai. The matter had previously featured in contempt proceedings (Ext. P9), where the Court observed attempts to avoid proceedings and directed reconsideration of the application. Senior Counsel CC Thomas contended Ext. P8 was issued to misrepresent compliance with the Court’s directions, and Ext. P11 (issued later) showed inconsistent reasoning. The Court found Ext. P8 to be devoid of proper application of mind, and while acknowledging the department’s position, directed that the petition be reconsidered in light of law on the date of consideration and in accordance with due process, setting aside Ext. P8 accordingly.

Provisions of Law Cited

Rule 13B of the Foreign Liquor Rules

Legal Doctrines & Maxims

  • Eligibility for FL-3 licence is determined with reference to the date of consideration of the application.
  • Law applicable as on the date of consideration of the application.
  • Court decisions govern the interpretation of licensing eligibility and ensure consistency with statutory framework.

Submissions & Arguments

Contentions of Appellants / Petitioners

The petition contends that Ext. P8 was issued without proper application of mind and to give an appearance of compliance with this Court’s directions. The applicant submitted the FL-3 licence application on 20.03.2012; star classification was granted on 23.07.2012 with effect from 20.07.2012. The reasoning in Ext. P8 relies on the date of the certificate rather than the date of consideration, contrary to established jurisprudence (including State of Kerala v. Raveendran Pillai). The petitioner argues that eligibility must be determined as on the date of consideration (11.02.2013 as per Ext. P8 discussion), and that delaying consideration while rectifying defects undermines due process. The reliance on Ext. P11 and inconsistent treatment in similar cases indicate a deliberate misrepresentation. The petition seeks setting aside Ext. P8 and a fresh decision in accordance with law, with timely consideration as directed by judicial precedent.

Contentions of Respondents

The State and Excise officials maintain that eligibility for FL-3 licence must be assessed on the date of application; the certificate obtained later does not render the application eligible. They cite the need to uphold statutory regime (Foreign Liquor Rules) and the alignment with previous decisions that apply the law as it exists on the date of consideration. They also reference Ext. P11 and other precedents to argue that a decision denying on the basis of the application date is legally sound if the applicant lacks a valid star classification on that date. The respondents contend there is no illegality in Ext. P8 and request dismissal or a limited restoration of the petition, urging strict adherence to law and orderly processing of licence applications.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
State of Kerala v. Raveendran Pillai2010(2)KLT 25PositiveThe decision is cited as establishing the principle that eligibility for FL-3 licence is determined with reference to the date of consideration, not the application date.

Diagnostic Tool

Beta

Does this judgment govern your specific facts?

Don't risk relying on a distinguishable precedent. Enter your facts or proposition below. We will test it against M/S. Hotel Indraprastha (owned by M/S. Hotel Mythri) vs State of Kerala and Others and instantly map out authorities that support, challenge, or govern your position.

Extracted Judgment Text

Exact text extracted from official judgment records.

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE K.SURENDRA MOHAN MONDAY, THE 1ST DAY OF APRIL 2013/11TH CHAITHRA 1935 WP(C).No. 8860 of 2013 (F) --------------------------PETITIONER: ----------------M/S. HOTEL INDRAPRASTHA (OWNED BY M/S.HOTEL MYTHRI)NEAR KSRTC BUS STAND NEDUMANGAD P O, THIRUVANANTHAPURAM-695541 REP BY ITS MANAGIGN PARTNER, DR.BIJU RAMESH BY ADVS.SRI.M.G.KARTHIKEYAN SRI.NIREESH MATHEW SRI.C.C.THOMAS (SR.) RESPONDENTS: --------------------- 1. STATE OF KERALA REP BY SECRETARY, TAXES(A)DEPARTMENT, GOVT.SECRETARIAT THRIUVANANTHAPURAM-695001 2. THE EXCISE COMMISSIONER, COMMISSIONERATE OF EXCISE THIRUVANANTHAPURAM-695001 3. THE JOITN EXCISE COMMISSIONER SOUTHERN ZONE, THIRUVANANTHAPURAM- 695001 4. THE DEPUTY COMMISSIONER OF EXCISE, THIRUVANANTHAPURAM 695001 5. THE CIRCLE INSPECTOR OF EXCISE NEDUMANGADU, THIRUVANANTHAPURAM DIST 695 541 6. K SOMASEKHARAN NAIR S/O.K K KUNJAN PILLAI, R/A.BHAVANAI, CHERUPPORKONAM MELAMKODE, PAHZKUTTY P O, NEDUMAGADU THIRUVANANTHAPURAM DIST 695 565 R BY GOVERNMENT PLEADER SMT. ANITHA RAVINDRAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 01-04-2013, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 8860 of 2013 (F) --------------------------- APPENDIX PETITIONER(S)' EXHIBITS ------------------------- EXT.P1:PHOTOCOPY OF THE APPLICATION DTD 20/3/2012 SUBMITTED BEFORE THE 2ND RESPONDENT EXT.P2:PHOTOCOPY OF THE STAR CLASSIFICATIN CERTIFICATE DTD 23/7/2012 ISSUED BY THE INDIA TOURISM DEPARTMENT, NEW DELHI EXT.P3:PHOTOCOPY OF THE THE JUDGMENT DTD 27/7/2012 IN WPC NO 17677/2012 PASSED BY THIS HON'BLE COURT EXT.P4:PHOTOCOPY OF THE ORDER DTD 19/9/2012 IN SLP(C)NO 2624126243/2012 PASSED BY THE HON'BLE SUPREME COURT OF INDIA EXT.P5:PHOTOCOPY OF THE LETTER DTD 22/9/2012 SENT TO THE IST AND 2ND RESPONDENTS EXT.P6:PHOTOCOPY OF THE LETTER DTD 19/12/2012 IN WA NO 2224/2012 PASSED BY THIS HON'BLE COURT EXT.P7:PHOTOCOPY OF THE AFFIDAVIT FILED BY THE IST RESPONDENT IN COC NO 1867/2012 DTD 5/1/2013 BEFORE THIS HON'BLE COURT EXT.P8:-PHOTOCOPY OF THE ORDER NO.XC7-20766/2012 DATED 11.2.2013 PASSED BY THE EXCISE COMMISSIONER. EXT.P9:-PHOTOCOPY OF THE ORDER DATED 7.3.2013 IN CONT.CASE(C) NO.1867/2012 PASSED BY THIS HONOURABLE COURT. EXT.P10:- PHOTOCOPY OF RULE 13B OF THE FOREIGN LIQUOR RULES. EXT.P11:- PHOTOCOPY OF THE ORDER, GO(RT)181/2013/TD DATED 2.3.2012 PASSED BY THE 1ST RESPONDENT. RESPONDENT(S)' EXHIBITS NIL --------------------------- JJ /TRUE COPY/ P.S.TO JUDGE **K. SURENDRA MOHAN, J. -----------------------------------------------------------W.P(C) NO: 8860 OF 2013 ----------------------------------------------------------Dated this the 1[st] April, 2013.** ## **JUDGMENT** The petitioner has filed this writ petition challenging Ext.P8 order of the second respondent rejecting application for FL-3 licence submitted by the petitioner. The only reason for rejection of the petitioner's application is contained in the last paragraph of Ext.P8. The last two paragraphs of Ext.P8 are extracted hereunder:- “As directed by the Hon'ble High Court in W.A.No:2224/2012, the submissions made by the appellant have been examined and the application for FL-3 licence submitted by Dr.Biju Ramesh was re-examined in the light of the submissions made by the appellant. From the above it is found the applicant has submitted his application for FL3 licence on 20.3.2012. Star classification certificate was obtained for the above hotel only on 23.7.2012 with effect from 20.7.2012. Hence the hotel is not eligible to get FL3 licence at the time of application submitted before the Excise Department. Hence the application for FL3 licence is rejected and accordingly judgment read 2[nd] paper and court WPC 8860/2013 2 order dt.5.2.2013 in CCC No: 1867/2012 vide read 4[th] above are complied with.” 2. According to the Senior Counsel Shri.C.C.Thomas who appears for the petitioner Ext.P8 order has been issued on 11.2.2013 rejecting the application for FL-3 licence on the sole ground that the star classification certificate obtained by the petitioner is dated 23.7.2012, is issued with effect from 20.7.2012 while his application is dated 20.3.2012. Therefore, on the date of submitting his application he was not eligible to apply for such a licence. The reasoning adopted is pointed out to be in violation of the settled law on the point that an application is to be considered in accordance with the law as on the date of consideration of the application. My attention is also drawn to Ext.P11, a subsequent order passed by the very same authority referring to the decisions of this Court as well as the order of the Hon'ble Supreme Court on the point. Therefore, it is contended that Ext.P8 has been issued deliberately to give an impression to this Court that the direction of this Court has been complied with. I have heard the learned Govt. Pleader also. 3. A perusal of Ext.P8 shows that there is no dispute regarding the factual aspects. The petitioner's application for FL-3 WPC 8860/2013 3 licence is dated 20.3.2012. The petitioner's hotel has been granted star classification on 23.7.2012, with effect from 20.7.2012. Ext.P8 order is passed on 11.2.2013. Therefore, as on the date of issuing Ext.P8 order, the petitioner was eligible to be granted an FL-3 licence. However, the second respondent has rejected his application on the ground that as on 20.3.2012, the petitioner's hotel had no valid star classification entitling him to apply for the licence. One fails to understand why the authority should consider the position as on 20.3.2012 while considering an application on 11.2.2013. If the petitioner had no valid star classification on 20.3.2012 the authority could have rejected his application on the said date itself. Having kept the application pending for about an year, having permitted the petitioner to rectify the alleged defect, there is absolutely no justification for projecting the same as a reason for rejecting his application. The inconsistent stand of the second respondent is further evident from Ext.P11 order issued in the case of another applicant, maintaining that it is the law applicable as on the date of consideration of the application that has to be considered. Ext.P11 is dated 2.3.2013 (erroneously shown as 2.3.2012) whereas the impugned order is dated WPC 8860/2013 4 11.2.2013. It is clear from the above that Ext.P8 has been issued without any proper application of mind. 4. My attention has also been drawn to Ext.P9 order passed by this Court in contempt proceedings wherein it has been found that the issue of the impugned order Ext.P8 was only to avoid further proceedings in the said petition. Paragraphs 8 and 9 of Ext.P9 order read as follows:- “8. Prima facie, the attempt that was made by the respondent by passing Annexure R2(b) order is only to avoid the further proceedings in this petition because by a long line of decisions including Full Bench decision of this Court reported in **State of Kerala v. Raveendran Pillai {2010(2)KLT 25},** it has been settled by this Court that the eligibility of an applicant to get an FL-3 licence is to be determined with reference to the date of consideration of the application and that principle has been adopted and followed by the respondents themselves in serval cases before this Court. Therefore, I am of the view that the facts of this case discloses a prima facie case under the Contempt of Courts Act and further proceedings are to be initiated. Therefore, I refer the case to a Division Bench for further proceedings against the respondent.” WPC 8860/2013 5 For the above reasons Ext.P8 is set aside. Respondents 1 and 2 are directed to consider the petitioner's application afresh and to pass appropriate orders thereon, in accordance with law, as expeditiously as possible and at any rate within a period of six weeks of the date of receipt of a copy of this judgment. Sd/K. SURENDRA MOHAN Judge jj /True copy/ P.S.to Judge WPC 8860/2013 6