Judgment

MOHAN

(1) LEAVE granted.

(2) THE first appellant in CA No. 4981 of 1994 arising out of Special Leave Petition (C) No. 9854 of 1993 is an Association registered under the Societies Registration Act. The members of the Association have been granted licences to carry on business in the retail vending of Indian-made foreign spirits (hereinafter referred to as I.M.F.S.).

(3) THE second appellant is a licensee of 1.M.F.S. Shop No. 336 at No. 7, Thyagaraja Road, Madras-17 for the year 1992-93.

(4) THE respondent, the government of Tamil Nadu framed the Tamil Nadu Liquor (Licence and Permit) Rules, 1981. Under these Rules, Indian-made foreign spirit and foreign liquor was to be sold only by persons who are granted licence for personal consumption. In the year 1989, the government of Tamil Nadu decided to grant the privilege of selling by retail of I.M.F.S. and beer through auction/tender system. Accordingly, the government framed Tamil Nadu Liquor (Retail Vending) Rules, 1989 by GOMs No. 506 Home (Prohibition) dated 15/4/1989. In the auction, the successful bidder was granted the licence to carry on the business of vending 1.M.F.S. in reta